ID :
14023
Sun, 07/27/2008 - 22:57
Auther :
Shortlink :
https://oananews.org//node/14023
The shortlink copeid
Japan gov't to cap general outlays in FY 2009 budget at 47.8 tril. yen
TOKYO, July 27 Kyodo - The Japanese government will set the request ceiling for the state budget's general expenditures, or core policy-related outlays, for fiscal 2009 starting next April at around 47.8 trillion yen, government sources said Sunday.
The ceiling, which serves as the guideline for budget requests, is expected to top the preceding fiscal year's budgetary ceiling of 47.28 trillion yen by about 500 billion yen, partly due to a rise in social security costs related to Japan's graying population, the sources said.
The government, meanwhile, is planning to expand its spending in key policy areas more than six-fold from the previous fiscal year to 330 billion yen in the fiscal 2009 budget, to better deal with such pressing matters as the shortage of doctors, they said.
The key areas set by the administration of Prime Minister Yasuo Fukuda also include environmental issues and boosting Japan's economic growth potential.
The government plans to trim public works spending by 3 percent and defense spending, as well as expenses and subsidies for state-run and private universities, by 1 percent each from the initial budget for the current fiscal year.
To finance the spending in key areas, the government will aim for an additional 2 percentage point cut in outlays that could either be increased or decreased depending on policy, the sources said.
The rise in the request ceiling reflects mandatory rises of 870 billion yen in outlays for state-run medical insurance and pension programs, assuming that no changes will be made to the current systems, the sources said.
The government plans to cut the rises in social security outlays by 220 billion yen by such means as the proposed cancellation of state contributions to the employment insurance scheme, but the rises would still come to 650 billion yen, they said.
The government plans to propose the cap to the ruling parties on Monday and, after being adopted by the Council of Economic and Fiscal Policy, is expected to endorse the cap at a Cabinet meeting Tuesday, the sources said.
After the cap is fixed, government ministries and agencies will file budgetary requests by the end of August.
The Finance Ministry will scrutinize those requests and compile a fiscal 2009 general-account state budget in late December.
The ceiling, which serves as the guideline for budget requests, is expected to top the preceding fiscal year's budgetary ceiling of 47.28 trillion yen by about 500 billion yen, partly due to a rise in social security costs related to Japan's graying population, the sources said.
The government, meanwhile, is planning to expand its spending in key policy areas more than six-fold from the previous fiscal year to 330 billion yen in the fiscal 2009 budget, to better deal with such pressing matters as the shortage of doctors, they said.
The key areas set by the administration of Prime Minister Yasuo Fukuda also include environmental issues and boosting Japan's economic growth potential.
The government plans to trim public works spending by 3 percent and defense spending, as well as expenses and subsidies for state-run and private universities, by 1 percent each from the initial budget for the current fiscal year.
To finance the spending in key areas, the government will aim for an additional 2 percentage point cut in outlays that could either be increased or decreased depending on policy, the sources said.
The rise in the request ceiling reflects mandatory rises of 870 billion yen in outlays for state-run medical insurance and pension programs, assuming that no changes will be made to the current systems, the sources said.
The government plans to cut the rises in social security outlays by 220 billion yen by such means as the proposed cancellation of state contributions to the employment insurance scheme, but the rises would still come to 650 billion yen, they said.
The government plans to propose the cap to the ruling parties on Monday and, after being adopted by the Council of Economic and Fiscal Policy, is expected to endorse the cap at a Cabinet meeting Tuesday, the sources said.
After the cap is fixed, government ministries and agencies will file budgetary requests by the end of August.
The Finance Ministry will scrutinize those requests and compile a fiscal 2009 general-account state budget in late December.
