Takaichi plans ¥13.9T stimulus to fight inflation
Japan plans economic relief measures exceeding $92 billion to address rising living costs under new Prime Minister Sanae Takaichi. The package will target inflation relief, industrial development, and defense spending as her first major policy initiative. The government intends to eliminate temporary gasoline taxes and expand aid for smaller businesses unable to access current wage subsidy programs.
Officials expect to announce details next month before seeking parliamentary approval through supplementary budget legislation. Investments will focus on artificial intelligence and semiconductor industries as part of strategic growth plans. The administration may issue deficit bonds if spending surpasses revenue projections. Japanese stocks gained while the yen held steady after the announcement.
