Japan's FY 2019 Draft Budget Likely to Total 101 T. Yen
Tokyo, Dec. 13 (Jiji Press)--The Japanese government plans to draw up a record draft general-account budget of around 101 trillion yen for fiscal 2019, informed sources said Thursday.
The initial budget scale will surpass 100 trillion yen for the first time ever due in part to ballooning spending on measures to cushion the impact of the consumption tax hike from the current 8 pct to 10 pct in October 2019, according to the sources.
Tax revenue in the fiscal year starting in April 2019 is estimated to reach a record high of some 62 trillion yen.
But it is uncertain whether progress will be made in efforts to restore fiscal health amid relentless spending increases.
With Prime Minister Shinzo Abe adopting the idea that there can be no fiscal consolidation without economic revitalization, his administration is poised to take every possible measure to prevent the economy from losing its momentum due to the consumption tax hike.
[Copyright The Jiji Press, Ltd.]