Takaichi Marks One Year as Prime Minister
Overview
On the first anniversary of her appointment, Prime Minister Takaichi cited the enactment of all 74 government bills and changes in economic indicators, and set out a policy of combining a strong economy with fiscal sustainability through responsible proactive fiscal policy. She said measures to address rising prices would continue and that communication of their results would be strengthened. She also outlined plans to advance growth strategies, strengthen information and security functions, respond to disasters, and deepen diplomatic cooperation.
Key points
- She aims to combine a strong economy with fiscal sustainability through responsible proactive fiscal policy.
- All 74 government-submitted bills were enacted.
- She said measures to address rising prices would continue and that the government would communicate policy results and future efforts to the public.
Overview
On the first anniversary of her appointment as prime minister, Sanae Takaichi explained her administration's record and challenges.
She recalled that competition over strategic industrial policies among countries was intensifying when she first ran for party leader in 2021, and said she had consistently advocated building a safe country and a strong economy through crisis-management investment and growth investment.
Impact
Food and beverages rose by about 3%, placing a heavier burden on low-income households with little room to cut spending. She said many people had not fully felt the effects of measures to address rising prices.
She explained that lower transport costs resulting from fuel subsidies help make daily life somewhat easier, including for people who do not own cars.
Details
Price measures include 1.7 trillion yen to abolish the provisional tax rates on gasoline and diesel, 367.7 billion yen for child-rearing households, 1.4085 trillion yen in fuel subsidies, and 1.0431 trillion yen in electricity and gas bill support. The priority local support grant totals 2.1 trillion yen, while income tax relief amounts to 1.8 trillion yen; 30,000 to 60,000 yen per taxpayer will be delivered through year-end tax adjustments this year.
The government will promote domestic investment through the Japan Growth Strategy and Regional Future Strategy as two pillars. It will establish a National Intelligence Council and National Intelligence Bureau, formulate a National Intelligence Strategy, and review the Three Security Documents. Disaster response will prioritize human life and address evacuation support, reconstruction of livelihoods and businesses, and infrastructure recovery and rebuilding.
In diplomacy, she announced an Evolved FOIP and said Japan would advance cooperation with Indo-Pacific and Middle Eastern countries, including through Power Asia, as well as coordination through the Japan-US alliance, ASEAN, APEC, and the G20.