Takaichi Holds 14th Council on Economic and Fiscal Policy Meeting
Overview
At the Council on Economic and Fiscal Policy meeting on October 9, 2026, participants discussed how to flesh out the medium- to long-term economic and fiscal plan and its implementation framework. Prime Minister Takaichi instructed officials to consider a system for continuously reviewing policy effects and economic and fiscal conditions, and using multiple economic scenarios and various shocks to inform policy decisions. The government plans to present its operating principles and outlook consistently and transparently.
Key points
- The meeting discussed concrete steps to advance the medium- to long-term economic and fiscal plan.
- The Prime Minister set out a policy of reviewing policy effects and economic and fiscal conditions, then making any necessary adjustments and policy decisions.
- The government will consider an operating framework based on multiple scenarios with different assumptions and various shocks.
- The Prime Minister instructed officials to report the results of the review to the Council on Economic and Fiscal Policy.
Overview
On October 9, 2026, Prime Minister Takaichi held the 14th Council on Economic and Fiscal Policy meeting of 2026 at the Prime Minister's Office. The agenda was implementing and fleshing out a medium- to long-term economic and fiscal plan based on responsible and proactive public finances.
Private-sector members proposed aligning key strategies with the desired direction for the economy and public finances; analyzing and verifying measures in priority areas and reflecting the results in budgets and other policies; and rebuilding the Committee for Promoting Integrated Economic and Fiscal Reform. Regarding the plan, they also recommended incorporating assessments of policy effects and uncertainty into policy decisions, and considering responses if the economy diverges from assumptions and flexibility in fiscal management.
Impact
The Takaichi Cabinet says it will use the plan's concrete development to present its approach to medium- to long-term economic and fiscal management, and its outlook, consistently and transparently.
Details
As it fleshes out the plan included in the Basic Policy on Economic and Fiscal Management and Reform 2026, the Takaichi Cabinet plans to continuously review economic and fiscal conditions and policy effects, and make any necessary adjustments.
Relevant ministers, led by Minister Kiuchi, will work together to ensure consistency with the government's strategies, advance the plan's concrete development, and reorganize its implementation framework. The government will coordinate efforts in priority areas, build a system that connects multifaceted analysis and verification to policy decisions, analyze multiple scenarios with different assumptions in advance, and respond to deviations from assumptions with measures such as reviewing expenditures and revenues. To prepare for various shocks, it will examine a range of indicators from multiple angles and manage policy based on a multi-year perspective and economic and fiscal conditions. The government will also study examples from other countries and report its findings to the Council. The Prime Minister corrected the phrase “medium- to long-term fiscal management” in her remarks to “medium- to long-term economic and fiscal management.”