(THIS IS A PROVISIONAL TRANSLATION AND CERTAIN TERMS AND PHRASES MAY BE CHANGED AT A LATER DATE)
28 January 2000
Welcoming in the year 2000, the dawning of a new millennium, and charged with the responsibility of determining the policies for our nation, I would like to state my views on some of the major issues before us as the 147th Session of the National Diet opens.
Over two thousand "millennium babies" were born in Japan on the milestone date of 1 January 2000. Amidst this shift in era from the 20th to 21st century, my thoughts first turn to what I can do and what I must do as a politician for the children who will bear the responsibilities of tomorrow.
I wonder what kind of Japan these children will inherit, and whether the nation of Japan will be in a position to gain the unswerving respect of the rest of the world when they have reached adulthood. At this turning point between eras, I firmly believe that we must consider the shape of future Japan in a comprehensive way, avoiding a shortsighted "insect's eye" approach which focuses only on the short-term issues we currently face, and rather taking a bird's eye view looking ten to twenty years ahead, and that we must consider what we can accomplish at this very moment in order to contribute to the attainment of the hoped-for shape of future Japan.
These thoughts led me to establish the Commission on Japan's Goals in the 21st Century, comprised of learned persons across all sectors. Under the concept of "a nation with wealth and virtue," the Commission held discussions from a variety of angles on what shape Japan should strive to take in the new century. The Commission recently submitted to me a report compiling their proposals following 10 months of active deliberations.
The report states that the most important challenge in the 21st century is how to tap the potential strength of Japan and its people. It is my firm belief that we Japanese, who have ably overcome more than a few hardships to date, have an immeasurable supply of untapped potential. This report's title, "The Frontier Within," boldly proclaims the immense potential contained in Japan and the Japanese people.
This is exactly what I have in mind. I used the term "constructive optimism" in my Policy Speech of last year, and also stated, "When a cup is only half full, it is very easy to bemoan the missing half. However, I am certain that what we now must do is to change our perspective so that we can see that indeed a full half still remains." I believe that if Japan and its people combine determination with ability, we will be able to once again fill our cup to the brim.
It is important that we be fortified by a "resilient optimism" in the knowledge that if we try we can succeed. We will not be able to forge a bright outlook for the 21st century by standing our ground. We must not continue to bemoan our situation, but instead take strong, positive strides forward.
A year and a half have elapsed since I took charge of the Cabinet under the banner of the "Cabinet for Economic Revitalization." While conditions have not quite stabilized yet, I believe that we are finally beginning to see intermittent rays of hope. In order to ensure that the light these rays emit are ever brighter, I pledge to devote myself to further efforts in a spirit of resilient optimism.
Concurrent with the arrival of the year 2000, the winds of a new era have begun to sweep in. Taking a firm hold on these winds of change, we must build the foundations for the Japan of tomorrow. The Japanese society of the future must be one in which individuals are not buried in the depths of organizations and groups. Rather, it must be a society in which the individual has the chance to shine and is enriched with vitality.
I believe the relationship between the individual and the public domain must change from the traditional vertical one to a horizontal one, with both working together to build a relationship characterized by "better governance." There is a pressing need to change the relationship between the people and the state into one in which independent individuals can fully demonstrate their potential, thereby adding to the dignity of the nation and society. In doing so, it is necessary to have a tolerant society that allows people to take up challenges once again where they have failed before, and has safety net that functions effectively.
Developed countries and many other nations are caught in the wave of globalization, aging populations with dwindling fertility rates, and innovation in information technology, which has the potential to transform the social structure from its very foundations. Japan is no exception to these developments. Since the Meiji Period, Japan has repeatedly directed its efforts toward the "catch up and overtake" model. However, no matter where we search in today's world, we can no longer find a model on which to set our sights. It is therefore our mission to consider the future shape of Japan ourselves.
I would like to suggest two specific objectives in making this consideration. The most important thing that we must consider for the purpose of building a bright future is how to develop our human resources. To become a "nation founded on education," all Japanese people, who will shoulder the burdens of the 21st century, should master the beautiful Japanese language-the cornerstone of our culture and traditions-while at the same time be able to communicate in the common international language of English and freely enter the international community through the Internet. The second objective is to realize "a nation founded on creativity of science and technology." At present, gene analysis is being conducted throughout the world, including in Japan, and it is my firm belief that the role Japan is playing in this area will be a highly significant one. We are working to realize lofty ambitions, for example discovering a complete cure for cancer through gene therapy, in order to ensure that Japan is able to assume an important position in the field of science and technology.
I have continued to advance my concept of the "Five Bridges," which I first explained in last year's Policy Speech, and this year would like to expand this concept to encompass "Five Challenges" to the issues that must be addressed with the resolve and wisdom of the people of Japan. The five are: "The Challenge for Creativity," "The Challenge for Security," "The Challenge for Rebirth," "The Challenge for Peace" and "The Challenge for the Globe." I would ask for the understanding and support of the people of Japan in this regard.
In order to ensure that the new era is a hopeful one, I shall first channel my efforts into the "challenge for creativity." Creativity represents a major key to boldly challenging the unknown, paving the way to a brighter future for Japan and at the same time contributing to the world as a whole. Japanese society, which places great respect on "wa", or harmony, in organizations and groups, has been seen to trend toward uniformity in its ideas and actions. I believe that unless the Japanese society of tomorrow overflows with different types of people with varied ideas, we will find it difficult to survive in the international community.
The development of human resources imbued with immense creativity must be the major target of education from now on. How to develop human resources filled with high aspirations and capable of applying their creative powers to the full in a variety of areas requires not only a review of the education system, but also radical educational reform that also encompasses the orientation of our society. I have decided to inaugurate as early as possible a National Conference on Educational Reform in order to hear the wide range of opinions in all sectors and at all levels of Japanese society and engage in discussion that re-explores the very roots of education itself.
Education does not have to be confined to the school alone. Indeed, education in the home is as important as that in school. I also believe that the school, home and local community must remain steadfastly integrated. Therefore, we must apply the collective work of the school, home and community to the development of human resources responsible for the Japan of tomorrow.
I believe that it is essential to build the sort of society in which, when necessary, both teachers and parents scold children properly, as well as admonish a misbehaved child, even if he or she is not their own. We should view children not as being part of a school or a home, but rather should consider them to be the treasures of society as a whole.
I need hardly mention the astounding speed of the progress in science. The more science continues to progress, the greater the need for steadfast minds capable of firmly controlling that science. That is why education which strikes a balance between the intellect and the heart is of paramount importance.
Children grow up observing adult society. Above all then, adults themselves must as a matter of course be aware of ethics and morals. Some have also pointed out that there are problems inherent in a society which neglects the fact that publications and games containing scenes of extreme violence and sexual expression have a damaging effect on youth. We must build a society that supports the robust development of our children.
I am always deeply moved whenever I read Ryotaro Shiba's essay, "To You Who Will Live in the 21st Century." In the essay, Shiba appeals to young people to "establish a self"-with the concept of being strict toward oneself, kind toward others, honest and wise-as well as stresses the importance of helping one another and feeling compassion for others. With this deeply engraved in my mind, I pledge to exert every effort in addressing educational reform as a top priority issue in my Cabinet.
Science and technology serve as the engine for the development of Japan. The very progress of science and technology is indispensable to building a society imbued with creativity, and the Government is united in its efforts toward their promotion. Above all, I am determined to promote Millennium Projects to be undertaken collaboratively among industry, academia and government in the three areas of major importance at present-namely informatization, aging and environmental measures-as well as to channel my efforts into developing an environment in order to move ahead with research and fortifying the technical capabilities of industry. Furthermore, keenly aware of the importance of the craftsmanship that has underpinned the Japanese economy, I shall work to strengthen its infrastructure by various measures including the establishment of a College of Craftsmanship.
A major responsibility of government is to create a society in which people can lead active lives filled with security. I would like to address the "challenge for security" in order to create a society in which people of all ages, be they youths, in the prime of their lives, or senior citizens, can lead healthy, prosperous and reassured lives.
It is incumbent upon us to ensure that each and every Japanese person is able to select and plan for him- or herself the education, employment, child-rearing, social security and other factors necessary for leading fulfilling lives.
In a society which is seeing unprecedented aging and dwindling fertility rates, some Japanese people have voiced feelings of concern over the future of the social security system. We are thus required not to vertically examine systems of medical care, pensions and nursing, but rather to conduct a comprehensive examination thereof that includes tax and other related systems from the viewpoint of the people of Japan, who actually bear the costs and receive these services.
The first postwar baby boom generation is now poised to enter elderly society. A study of the modalities for the structure of social security is an urgent requirement, and I have established a council of learned individuals with the feeling that this is the final opportunity for study. I will ask this council to conduct its studies from a horizontal perspective that includes the issue of what is essential to actively promote the social role of the elderly generation and make available a diversity of choices. As such, I shall exert all my efforts into creating a stable and efficient social security system for the future.
In the pension system, I am working to ensure fairness in the expense burdens among the generations by implementing bills being deliberated upon in the Diet, and plan to introduce a new fixed contribution pension system. I will also move forward with reforms to the healthcare system, and, having taken all possible measures to ensure the facilitated introduction of the nursing insurance system this April, I shall actively promote health and welfare policies for the aged, such as the systematic organization of the system for providing nursing services.
Rapidly declining fertility rates are an issue that society as a whole is compelled to address. I shall move forward with further developing an environment for child-rearing and employment and increase child allowances to ensure that we can create lively homes and hold aspirations toward child-rearing. I shall also step up my efforts to realize a gender-equal society in which both men and women can collectively share in life's joys and responsibilities.
The present employment situation in Japan is extremely severe. In light of these grave circumstances, I shall focus my efforts on confronting this issue in order to improve the employment situation and alleviate anxieties over employment. I shall work to rebuild the employment insurance system that responds to changes in society, as well as exert efforts to secure employment opportunities for the elderly.
The foundation for a life that offers security stems from good public order. Underpinning this public order are the police, who must work hand in hand with the people. Beginning with the enhancement and reinforcement of the public safety commission system, I will advance the measures necessary for recovering the trust of the Japanese people in the police, which has been shaken by a series of scandals. I will also effect the necessary reforms to create a judicial system accommodating the changes of time and highly convenient for the Japanese people.
Five years have elapsed since the Great Hanshin-Awaji Earthquake, and we will never forget the lessons that have been learned from the great number of victims. I shall not cease my efforts in disaster measures and other areas of crisis management, but will work to further enhance and strengthen those measures.
The Japanese economy is continuing to improve moderately. We are beginning to see the effects of the various policies which I implemented boldly and speedily, and the recovery of Asian economies and other factors are also having a positive impact. Yet the momentum for recovery in private demand remains weak. In order to ensure that greater hope lies ahead, I shall take a bold approach to the "challenge for rebirth" of the Japanese economy. Rather than simply standing the economy back on its feet, I shall confront this situation exerting every possible effort to achieve both the real recovery of the economy and structural reforms.
By powerfully moving ahead with the Policy Measures for Economic Rebirth finalized last autumn, as well as other measures, I shall work toward a transfer from public to private sector-led demand and stimulate an autonomous economic recovery based on such private demands as plant and equipment investment and personal consumption. To date, I have actively addressed financial system reform, the strengthening of industrial competitiveness, as well as deregulation and other structural reforms, and shall work with greater effort toward their promotion and establishment. Small- and medium-sized enterprises (SMEs) are a source of economic dynamism. I shall exert every possible effort to provide assistance to and introduce financial measures for highly-motivated SMEs and venture businesses. Through the promotion of these various policies, I project that the real GDP growth for FY2000 will reach about 1.0%.
In formulating the budget for FY2000, I have responded adequately to public works projects, the stabilization of financial systems and the protection of depositors from the perspective of taking every possible measure in the management of the economy. In addition, I have selectively and efficiently allocated funds to areas that befit the new millennium, including a special economic rebirth package totaling 500 billion yen.
As for the tax system, the permanent reductions of more than six trillion yen implemented last year in the areas of personal income tax and corporate tax are continuing. In FY2000, I shall in addition formulate measures for stimulating private sector investment and promoting SMEs and venture businesses with a view to initiating a full-fledged recovery of the economy, as well as take a suitable approach to pension, corporate-related and other tax systems.
I need not remind you of the importance of healthy finance. I am seriously concerned that the balance of debt for the end of FY2000 is set to reach 645 trillion yen. Not a moment goes by when I forget about the major challenge of financial structural reform. However, unable at present to simultaneously pursue the objective of placing the economy back on the real path to recovery and the major challenge of addressing financial reorganization, I can think only of the idiom, "He who runs after two hares will catch neither."
First, I shall focus my entire efforts on economic rebirth. The United States, which suffered from an unprecedented financial deficit during the mid-1980s, have turned their situation around to register an unparalleled budget surplus, to the extent that great debate is taking place over what to do with that surplus. The achievement of the financial restructuring of the United States, said to be impossible, can be attributed to various reforms and the longest ever consecutive economic expansion spanning 106 months.
Not only Japan, but also the international community, have equally strong expectations toward the recovery of the Japanese economy. Financial restructuring is important, but we should not make the mistake of proceeding ahead with it before getting the economy back on the path to recovery. I shall confront the issue of financial structural reform when we have surmounted the slump in the Japanese economy and achieved a "recovery of national strength" that lives up to its name, and as such developed an environment for addressing the various financial and tax system challenges with a view to future generations.
Another major aspect of effecting an economic rebirth is to improve the quality of life for the Japanese people. With deregulation progressing, I will put in place a rescue system for victims of unfair and illegal business transactions and rules for the fair and facilitated resolution of conflicts pertaining to contracts entered into between consumers and businesses. Further, in order to ensure a more comfortable daily life for all, I shall aim to double living space and make specific efforts toward enlivening urban areas in a move toward appealing urban planning in accordance with the changes of the era.
I shall also extend by one year the removal on the embargo on payoffs in order to further strengthen the financial system. Combined with this, I shall establish a permanent system related to managing insolvency cases of financial institutions.
It is my strong hope that the 21st century will be a "century of peace," and Japan, for its part, is determined to exert every possible effort toward a complete end to the wars between ideologies, nations, and regions that have plagued the 20th century. Japan can have an extremely bright future only if world peace and stability are allowed to reign. Under the banner of a "challenge for peace," I shall take an active role within the international community.
Last year I reached a decision to hold the G8 Summit in Kyushu and Okinawa after a soul-searching process in which I examined all possible elements. The Summit, to be held in this milestone year 2000, serves as an excellent opportunity to pledge to the world to build a "century of peace," and I am intent on conveying a hopeful, powerful message to the world. The Kyushu-Okinawa region has close links with many Asian countries, and I expect that discussions will be entered into with due consideration to the Asian perspective.
This Summit has to be a resounding success. This is because I believe that the major role Japan is required to play in the international community rests in its entirety on the success of the Summit. Drawing on all the passion I have, I will earnestly fulfill Japan's responsibilities to the international community in cooperation with Nago City, the venue for the Summit, and other local municipalities.
Contributing to the maintenance of international security while strengthening Japan's own security foundations represents a major challenge for peace. With the understanding of the people of Japan, I will further advance cooperation toward United Nations peace activities.
I recently visited the Kingdom of Cambodia, the Lao People's Democratic Republic and the Kingdom of Thailand. While there I received high appraisal that Japan was "a friend indeed in time of need" in appreciation for our active assistance during the Asian economic crisis.
Japan-Republic of Korea relations are welcoming a new stage with a positive inclination toward the future, and the feelings of people from both countries have seen a dramatic improvement. On 1 January this year, President Kim Dae Jung and I sent out a New Year message to each other's people across the mass media networks in both countries. This step was the first of its kind in our histories. We shall be further promoting exchange in a wide range of areas as we gear ourselves toward the World Cup soccer championships in 2002, which will also signify the Year of People-People Exchange Between Japan and the Republic of Korea. On Japan-North Korea relations, in close cooperation with the Republic of Korea and the United States I shall further advance the dialogue that began to develop last year, sincerely discuss the normalization of diplomatic relations and humanitarian and security issues therein, and strive to ensure that both sides can adopt a positive stance toward each other. I shall also exert further efforts to develop relations with China, a major country in Asia. Last November, the leaders of China and the Republic of Korea and I held our first ever trilateral meeting. It is my firm belief that this meeting will act as catalyst for future peace in East Asia.
The relationship with the United States serves as the cornerstone of Japan's foreign policy, and I shall work to further bolster this relationship based on the unwavering trust between myself and President Bill Clinton. As for the transfer and handover of the Futenma Air Base, Governor of Okinawa Prefecture Keiichi Inamine has announced the selected site for transferring the facility, and Mayor of Nago City Takeo Kishimoto has publicly expressed his acceptance of this. The Government of Japan will take all possible safety and environmental measures in the construction of the facility, make every effort to promote the region and provide an appropriate response to local expectations. I shall also earnestly address the further reorganization, integration and scale-down of US bases and facilities in Okinawa geared toward the steady implementation of the final report of the Special Action Committee on Okinawa (SACO).
While President Boris Yeltsin has retired from office, this year-the deadline for reaching the objectives agreed upon between Japan and the Russian Federation-I will spare no effort to conclude a peace treaty based on the Tokyo Declaration and other agreements as I work with the new leader of Russia to further strengthen relations with the Russian Federation in all areas.
Diplomacy in the 21st century will be compelled to channel its focus also onto each and every individual of which a state is comprised, rather than concerned solely with relations between countries. I shall continue to explore every possible avenue to create a world in which people from all countries are able to live freely. Respecting human rights and protecting democracy-the basis for freedom-I shall concentrate my efforts on providing assistance to developing countries that will contribute directly to poverty eradication and human security. I also commit myself to continued efforts toward the early launching of the new World Trade Organization (WTO) round in order to maintain and reinforce the multilateral free trade system.
(The Challenge for the Globe)
I shall boldly address the "challenge for the globe" by hailing the year 2000 as the "first year of the recycling society."
The orientation of Japanese society toward mass production, mass consumption and mass waste is imposing a major burden on the global environment. There is an urgent need to realign the ways of our society and create a "recycling society" underpinned by the recycling of materials across all levels of socioeconomic activity, namely production, distribution, consumption and disposal. I shall submit to this Session of the Diet the bills that will form the basic framework for creating a recycling society.
I shall adopt a comprehensive range of measures to ensure the stable supply of energy. Taking an active approach toward policies of energy conservation and new energy, I shall respond to the demands for environmental conservation and improved market efficiency. Further, reflecting sincerely on the severity of the criticality accident last September, I shall swiftly work toward the extensive tightening of nuclear power-related safety regulations and the establishment of disaster prevention measures by advancing the steady implementation of the recently enacted laws including the Law on Special Measures for Nuclear Disasters.
Maintenance of food supply is a major global-scale challenge in a world that continues to see an explosive increase in the total population. I shall continue my efforts toward ensuring the healthy development of the agriculture, forestry and fishery industries and agricultural, mountain and fishing communities. I shall also work to ensure that they demonstrate the multi-faceted functions of national land and environment conservation and cultural legacy, and to secure the stable supply of food.
Today, standing before the dawn of a new millennium signifying great change, I keenly feel the weight of responsibility for administering this Government. It is incumbent upon us to accomplish all that must be done today so that the generations of our children and grandchildren who will bear the responsibilities of the next era can move forward emboldened by the knowledge that those who went before them addressed their challenges in a spirit of determination.
Rather than focusing on today's and tomorrow's interests, we must sow the seeds that are of vital importance to the Japan of tomorrow, regardless of how modest they may be, enabling us to nurture the flowers that will blossom in five to ten year's time. That is why I asked both the Liberal Party and the New Komeito to join the administration, in my desire to gain the cooperation of members of the Diet with similar aspirations. I hope that we can reap fruitful results from the tripartite coalition as we unceasingly advance all necessary policies.
More so than ever, the year 2000 represents a year of immense importance. The reform of the central ministries and agencies to commence on 6 January 2001 will also signal a new structure of government. Local governments are also expecting a major turnaround. From domestic politics to foreign policy, the challenges we must address are mounting before our very eyes. Furthermore, I believe that the reform of the Diet, for example in the introduction of debates between party leaders and the abolishment of the system of government delegates, will bring about a major reshaping of the Diet's role.
Research Commissions on the Constitution have been established in both the House of Representatives and the House of Councilors as of this Session of the Diet. I expect that wide-ranging discussion will be advanced among all members of the Diet, truly learned individuals entrusted by the people of Japan.
In closing my Policy Speech, I would like to offer the following words to the young generation who will be responsible for the 21st century, taken from Kenji Miyazawa's fairy tale, "Night of the Milky Way Railway."
"Whatever you encounter as you proceed along the correct path, no matter how difficult, each step, whether up or down, brings you closer to true happiness."
I humbly ask for the support and cooperation of the people of Japan and the members of the Diet.