Proceeds from Tokyo Complex Sale Eyed for Defense Spending

Politics

Tokyo, Dec. 7 (Jiji Press)--The Japanese government is considering using proceeds from the sale of a building complex in the Otemachi district of Tokyo's Chiyoda Ward to partly cover a planned defense spending hike, it was learned Wednesday.

The Otemachi Place complex was built in 2018 on the land lot where the Communications Museum and the Tokyo International Post Office used to stand.

Last month, the government signed a deal to sell its holdings in the complex for some 436.4 billion yen, the highest price ever for state-owned property. Part of the gain is likely to be used for defense spending.

Prime Minister Fumio Kishida has issued instructions to earmark some 43 trillion yen for defense spending over the five years through fiscal 2027, about 1.5 times higher than for the current period.

To finance the spending hike, Kishida has indicated plans to carry out expenditure reform, use nontax revenues and take tax measures.

[Copyright The Jiji Press, Ltd.]

Jiji Press