Japan Govt Agencies' Budget Requests Hit Record 105 T. Yen
Tokyo, Aug. 30 (Jiji Press)--General-account budget requests from Japanese government agencies for fiscal 2020 are believed to have hit a record high around 105 trillion yen, informed sources said Friday.
The figure is higher than the current record high of 102,765.8 billion yen, for fiscal 2019. Larger social welfare expenses amid society's aging and higher debt-serving costs are seen to be behind the increase.
The Ministry of Finance, which screens the budget requests, effectively finished accepted requests for funds from other ministries and agencies on Friday. In the process of compiling the government's budget for the year from next April, the MOF must try to balance fiscal consolidation and spending, including on measures to minimize the effects of the planned consumption tax hike from 8 pct to 10 pct in October.
The total amount of budget requests exceeded 100 trillion yen for the sixth consecutive year.
The Health, Labor and Welfare Ministry submitted its largest-ever request, of 32,623.4 billion yen, up 2.1 pct from the budget for fiscal 2019. A natural increase in social security costs resulting from the aging population is seen coming to 530 billion yen.
[Copyright The Jiji Press, Ltd.]