Takaichi

Japan budget

2026-09-01 09:24:00

Japan's Record Budget Requests Draw Fiscal Focus as 10-Year JGB Yield Hits 3%

Japanese ministries submitted a record total of around 143 trillion yen in budget requests for the next fiscal year, according to Zhitong Finance, just as the benchmark 10-year government bond yield reached 3% for the first time since 1996. The requests, compiled from 18 ministries and agencies, include a Ministry of Economy, Trade and Industry bid more than five times the year-earlier level, as well as record requests from ministries in charge of defense and social security. Prime Minister Takaichi Sanae's fiscal ambitions are drawing closer attention as the market waits for details on spending and financing plans. Concerns about Japan's fiscal outlook have weighed on bonds. Growth Strategy Minister Jonai Makoto said Takaichi is reforming the country's budgeting process, which traditionally relies on supplementary budgets on top of annual initial budgets. He argued that FY2027 budget requests should be compared with the combined scale of the FY2025 supplementary budget and the FY2026 initial budget.

890

Japan

2026-08-13 04:53:47

Japan PM Takaichi Backs BOJ Rate Hike, Next Move Seen in September or October

Japanese Prime Minister Takaichi has expressed support for the Bank of Japan's near-term rate increase, with the next move likely in September or October. According to ChainCatcher, the BOJ is worried that a weak yen is pushing up prices, and the government and central bank are now moving closer on the need to tighten. The prime minister's office said specific monetary policy steps should be decided by the BOJ, but the two sides should cooperate closely to "stably" achieve the 2% inflation target.

1530

yen

2026-08-12 03:18:45

Rare US-Japan Yen Push Faces Bessent-Takaichi Rift Over BOJ Policy

Japan and the United States have shown rare coordination in pushing the yen stronger, but a fundamental rift between U.S. Treasury Secretary Bessent and Japanese Prime Minister Takaichi Sanae over the Bank of Japan could weaken that joint effort, according to ChainCatcher. Bessent views tighter monetary policy as vital to addressing the yen's weakness, while Takaichi is cautious about raising interest rates and concerned about the impact on Japan's economic recovery. The BOJ's benchmark rate still stands at 1%. The two officials' differences on how the central bank should act stand out even as their governments align on the goal of a stronger yen, and those differences could undercut what the two sides are trying to achieve together.

1870