The National Times - Japan government approves $92 bn extra budget

Japan government approves $92 bn extra budget


Japan government approves $92 bn extra budget
Japan government approves $92 bn extra budget / Photo: © AFP

Japan's unpopular minority government approved on Friday an extra budget to help pay for a massive stimulus package after the ruling coalition's worst election result in 15 years.

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The hoped-for lift to the economy is also aimed at boosting Prime Minister Shigeru Ishiba's popularity after a gaffe-riddled start including an embarrassing video of him eating.

The extra budget approved by the cabinet is worth 13.9 trillion yen ($92 billion) and is expected to be approved in parliament by the end of the year.

It will be partly funded by issuing bonds worth over 6.6 trillion yen.

It includes 1.5 trillion yen to boost Japan's chip and AI sectors, part of a 10-trillion-yen push over the coming years previously announced.

Last week Ishiba's cabinet approved a 21.9-trillion-yen stimulus drive, with the overall impact expected to be worth 39 trillion yen.

It includes handouts of around 30,000 yen for low-income households, fuel and energy subsidies, and assistance to small businesses.

Ishiba, 67, took office on October 1 following the resignation of unpopular predecessor Fumio Kishida, and called snap elections soon afterwards.

But the move backfired, with voters angry over corruption within the ruling Liberal Democratic Party (LDP) -- which has governed almost non-stop for decades -- and price rises.

The ruling coalition of the LDP and the smaller Komeito party were deprived of a majority in the lower house of parliament for the first time since 2009.

Ishiba has promised to revitalise depressed rural regions and to address the "quiet emergency" of Japan's shrinking population, the world's second-oldest.

A poll in the Mainichi Shimbun daily on Sunday put the cabinet's approval rating at 31 percent, down 15 points from early October. The disapproval score was 50 percent.

Ishiba drew ridicule after being snapped apparently napping in parliament this month, and for failing to stand up to greet other world leaders at a gathering in South America.

Worse was a video that emerged of Ishiba eating an onigiri rice ball -- a popular snack -- whole and munching on it without closing his mouth.

"He eats like a three-year-old," one user said on X. "How could he have risen to the top with these manners?" asked another.

Q.Marshall--TNT