Japan FY 2022 Budget Requests to Hit Record above 110 T. Yen

Politics

Tokyo, Aug. 26 (Jiji Press)--Fiscal 2022 general-account budget requests by Japanese government agencies and ministries are expected to exceed 110 trillion yen for the first time, hitting a record high for the fourth straight year, informed sources said Thursday.

For fiscal 2021, the request amount totaled 105,407.1 billion yen. The estimated growth in the budget requests for fiscal 2022, which starts next April, chiefly reflects a rise in debt-servicing costs and a natural increase in social security spending reflecting the aging of the country's population, the sources said.

The Ministry of Finance will accept budget requests until the end of this month and later start full-fledged work on drafting the fiscal 2022 budget.

The MOF plans to set the sum of funds to cover debt-servicing costs at a record 30,236.2 billion yen, up 27.3 pct from the fiscal 2021 initial budget, as the issuance of Japanese government bonds grew for financing coronavirus measures.

Meanwhile, the ministry will likely refrain from setting a specific amount for reserve funds for COVID-19 measures. In the fiscal 2021 initial budget, 5 trillion yen was earmarked for such budget reserves.

[Copyright The Jiji Press, Ltd.]

Jiji Press