Japan's Takaichi Prioritizes Economic Growth in Policy Speech

Tokyo, Oct. 5 (Jiji Press)--Japanese Prime Minister Sanae Takaichi called achieving economic growth her top priority in her policy address before parliament Monday, vowing efforts under her cabinet's slogan of "decision, challenge and action."

In the speech given at the House of Representatives and the Senate, the two chambers of the Diet, Takaichi explained that the planned temporary reduction in the consumption tax on food products would provide households with more financial breathing room, while showing confidence in gaining market participants' trust in fiscal management.

She pledged that the government will realize a virtuous cycle under expanding gross domestic product by inducing increases in employment, income and tax revenues through government-led rises in investment in areas with growth potential.

In the speech, delivered at the start of the 69-day extraordinary Diet session Monday, Takaichi declared the start of the first year of "responsible and proactive" public finances, a slogan of her administration aiming to achieve both economic growth and fiscal sustainability.

Citing concern about fiscal deterioration, Takaichi said that the government will comprehensively examine prices, tax revenues, interest rates and debt-servicing costs, and properly control the issue amounts of government bonds. Necessary measures will be taken if unusual moves occur in markets, she added.

[Copyright The Jiji Press, Ltd.]