Policy Speech by Prime Minister Tomiichi Murayama to the 130th Session of the Diet

(July 18, 1994)


As you know, I was designated Prime Minister in the previous session of the Diet. Acutely aware of the grave responsibilities I assume in taking the helm of the ship of state at this juncture when we approach a major turning point in our history, I am resolved to work to the best of my abilities, to make a good-faith effort, and to discharge my duties responsibly.

Introduction

The end of the Cold War has also marked the end of the era in which philosophical and ideological conflict ruled the world, and efforts are now underway to create a new order of peace and stability divorced from the old paradigm of capitalism vs socialism. Consistent with this change in the international situation, Japan is also undergoing significant change from the conservative vs reformist conflict that characterized postwar politics to a new era of realistic political debate transcending party affiliation.

Given these historic changes, this Cabinet was formed as a new political structure transcending the old, established frameworks. What is needed now is not ideological debate but politics in which, responsive to changing circumstances, there can be lively political discussion and the multifaced will of the people can be reflected and politics in which the necessary policies are implemented without fail. This is a Cabinet in which our three parties, having trod divergent paths until now, have declared an end to the so-called 1955 structure after so many years and have come together with the resolve that we should all achieve self-transformation building upon the experience with coalition governments over the last year so as to create a more stable government that better reflects the popular will. With this, we have embarked upon a new structure in which we will discuss candidly what the optimum policy choices are for the people on each issue and will be responsible for implementing those policies once consensus is achieved. Keenly aware of the historic significance of this Cabinet's creation, I am determined to do everything within my power so as not to betray the hopes of the people.

The kind of government that we should be striving for is not one that assumes that the state and industry come first but one that sees its central task as that of ensuring that those hard-working ordinary people who live by the sweat of their brows can live rewarding and anxiety-free lives in peace. It is, in effect, a government that cares about people and a government that you can feel at ease with. Thus I see my primary domestic mission as that of constantly reviewing issues from the perspective of the common man, devising policies grounded in the feelings of the ordinary Japanese, and ensuring that this approach becomes firmly rooted in the Japanese political climate.

In the international context, I will never forget the vows that we took to build a nation of peace based upon our remorse at World War II and will work with vigor and dedication to have Japan lead the way to world peace, and I intend to play an active role for the creation of an international society in which human rights are protected and people can live their lives in peace and stability. We should strive not to be a powerful country but to be a caring country.

If we are to achieve such a government, it is essential that we respect the principles of the Japanese Constitution, a source of pride internationally, and work to ensure that these principles are internalized by the people. At the same time, we must also value the good Japanese traditions and customs of caring for the aged and showing concern for the disadvantaged. That said, it is impossible to achieve the kind of government the people want simply by continuing and building upon past policies. Rather it is imperative that we review our ossified social arrangements and institute drastic reforms responsive to the historic changes underway. Reform can only be effective on the basis of political stability. Conversely, it is only when we grapple courageously with the issue of reform that we can have political stability founded on popular trust and support. Believing in this virtuous cycle, I intend to travel the road of reform no matter how difficult the path ahead may be.

The times are changing, and it is important at such a time that politics elucidate the approaches to be taken and exercise forceful leadership. At the same time, the times being what they are, it is imperative that politics reflect the popular will. Thinking together with the people about Japan's political directions, I fully intend to honor the democratic principle of transcending party differences, listening to a diversity of views, and seeking consensus through discussion and debate before all of the people.

Implementing Political Reform

Political reform should first be addressed as the starting point for those other reforms on our agenda. It is axiomatic that politics is basically to serve the people and that Japanese politicians should act in the best interests of the Japanese people and all peoples everywhere, yet many people today find it difficult to take this axiom at face value and instead see politics as some kind of underhanded scam. Never before has it been so important that politics return to its roots and dispel this popular distrust. And the first prerequisite here is a return to self-awareness of clean politics. I firmly believe that those who are elected to represent the people must have even higher moral standards than those who elect them, else what is the point in electing them.

At the same time, I am well aware that further efforts need to be made for systemic reform to consolidate the reforms effected thus far. Thus it is that, along with obtaining the report of the advisory committee working on electoral districts and promptly submitting redistricting legislation to the Diet so that the next general election for the House of Representatives can be conducted under the new system, I intend to promote broader-based political reform by moving determinedly for political cleansing with new anti-corruption measures. Political reform is never-ending, and I am resolved to bend my every effort to political reform.

Contributing Internationally as a Nation of Peace

The world is today in the kind of unsettled state typical of times of historic change. While the end of the Cold War has surely brought one era to an end, it is yet unclear what the next era will hold. While there are signs of progress for peace in the Middle East and elsewhere, the question of North Korean nuclear development, the regional strife in former Yugoslavia, and other issues are sources of serious concern for world peace and stability. In the world economy too, while the prospects for the world economy overall are again better, this outlook is overlaid with serious problems such as the unemployment in the industrial countries, the poverty in the developing countries, and the threat of environmental devastation worldwide.

What should Japan do given this international situation? Very simply, we should play an active role in the international community as a nation of peace. And this means we must posit a world without armaments as mankind's ultimate aim and must convey to future generations our vow never again to tread the road to military great-power-dom. Adamant as the only country to have been the target of nuclear attack that there is no justification whatever for ever again visiting this atomic horror on anyone, Japan should adhere fast to its three non-nuclear principles and should rigorously enforce its controls over arms exports. Of course, it is vital to ensure the national peace and security. I will firmly maintain the Japan-U.S. Security Treaty. On the Self-Defense Forces, I will persistently maintain an exclusively defense-oriented policy, study our defense posture for the future considering changes in the international situation, and work to build the necessary minimum defense capability.

Being a nation of peace entails more than simply not being a military power or not possessing nuclear arms. Japan is also being called upon today to make an even greater contribution than before to the peaceful resolution of those many issues confronting the international community and to contribute to the international economic development and prosperity. The era of East-West confrontation backed by massive military force having ended, now is the time for Japan to marshal its economic and technological capabilities to make an even greater contribution to the resolution of the mutual distrust, poverty, and other problems that underlie international conflict. From this perspective, we should contribute even more actively to the cause of international disarmament, including strengthening the non-proliferation regimes for nuclear weapons and other weapons of mass destruction, with the ultimate abolition of all nuclear weapons as our aim. Likewise, I intend to continue Japan's economic support for the developing countries unable to escape from poverty and stagnation, for the former Soviet Union, and for the countries of Central and Eastern Europe.

Summit Report

The recent Naples Summit was an ideal opportunity to gain the understanding of world leaders for this Cabinet's basic stance. As well as building personal relationships with these world leaders, I frankly explained the new government's basic orientations and our foreign policy continuity and I believe I gained their understanding.

Cooperation among Japan, North America, and Europe must be central to efforts to promote international policy coordination, and this Naples Summit yielded a clear expression of our determination to continue to strengthen policy coordination for lasting non-inflationary growth and to work in concert on the serious unemployment problems our nations face. On the issue of North Korea nuclear development, we have called upon North Korea to enter into dialogue with the international community and to work to remove suspicions that it is developing nuclear weapons. In these and other areas, I believe this Summit was a significant success furthering candid exchanges of views among the assembled leaders and setting forth clear directions on the pending political and economic issues before us.

Contributions to the United Nations

The United Nations. a universal international institution, has an extremely important role to play for global peace and stability in the post-Cold War international community. Responding to the international community's expectations, Japan will continue to cooperate actively with United Nations peacekeeping operations consistent with the Constitution and needs to assume a more responsible role within the United Nations while endeavoring for UN reform. With regard to the question of permanent membership on the Security Council, we will have thorough discussion of the rights and responsibilities that would accrue as a result. Japan needs to tackle this issue on the basis of the support of its Asian neighbors and other members of the international community as well as the understanding of the Japanese people.

Our contributions to the international community through the United Nations are not limited to the political and security fields. Responses to environmental conservation, human rights, refugee, population, narcotics, and other global issues are increasingly important in the quest for caring for all humankind. Japan intends to work vigorously to solve these problems and will dedicate its efforts to contributing through non-military means to world peace and coexistence.

Contributing to the Free-trading Regime

Turning to international trade, this year marks the 50th anniversary of the Bretton Woods system that has underpinned the postwar world free-trading regime. As one of the countries that has benefited most from free trade under this regime, Japan has a responsibility to step up its efforts for the maintenance and development of the free-trading regime, including submitting the Uruguay Round Agreement and related legislation to the Diet quickly and working for passage by the end of the year bearing in mind that the Agreement is scheduled to go into force next January 1. Likewise, it is imperative, in order to maintain harmonious international relations, that the principle of a fair market economy underlie Japanese economic policies and that Japan take the initiative in contributing to the creation of a new international economic order. From this perspective, I am resolved to continue to work for further market-opening and domestic-demand-led economic management and to strive to achieve a highly significant decrease in our current account surplus over the medium term.

Asia-Pacific and other Regional Relations

In discussing Japan's foreign relations, it is necessary first to look at relations with the rest of the Asia-Pacific region where Japan itself is located. As the 50th anniversary of the end of the war approaches, I recognize anew that Japan's past actions, including aggression and colonial rule, caused unbearable suffering and sorrow for many people in this region and I intend to make every effort, based on my deep remorse, to build world peace in line with my anti-war commitment. Along with facing up squarely to the history of Japan's relations with its Asian neighbors, I am thus pressing to ready specific policies to further enhance mutual understanding among the people of the region by expanding exchange programs for those young people who will be the leaders of the future and other programs, including one in the field of historical research.

At the same time, I know that the Asia-Pacific region is one of vitality and is achieving the highest growth rate anywhere in the world. Along with working for APEC's further development, Japan will also make efforts in the political and security fields, including, for example, its active participation in the ASEAN Regional Forum including China and Russia starting this year premised upon a U.S. presence and involvement in the region.

On the Korean Peninsula, President Kim Il Sung of North Korea has passed away, but I strongly hope that this situation will not have a negative impact on peace and stability on the Korean Peninsula and that further progress will be made in the efforts to resolve issues through dialogue, including the resumption of U.S.-North Korean talks and the prompt realization of the North-South summit talks, thus leading to the removal of the international community's concern about North Korea's nuclear weapons development. We will make the utmost efforts for peaceful resolution of the issues in close coordination with the United States, the Republic of Korea, China, and other parties concerned and, as part of these efforts, I will visit the Republic of Korea soon.

As reaffirmed in my recent talks with President Clinton, the Japan-U.S. relationship is the most important bilateral relationship for both countries, and it goes without saying not only that it is the cornerstone of Japanese foreign policy but also that it is extremely important for the maintenance of Asian and world peace and stability. I intend to make every effort for the further development of this cooperative relationship, including achieving greater success in the Japan-U.S. Framework talks soon.

Along with resolving the territorial issue, concluding a peace treaty, and fully normalizing relations with Russia in accordance with last year's Tokyo Declaration, we also intend to provide the appropriate support for Russian reforms within the context of international coordination. Along with welcoming the moves for European integration, Japan will continue to work to build a comprehensive cooperative relationship with Europe including greater Japan-Europe political dialogue.

Economic and Social Restructuring for the Future

Although Japan is the world's second-largest economic power, conditions are still such that the ordinary people do not feel truly affluent. Compounding this, Japanese demographics are rapidly moving from a most dynamic structure to a most difficult one. Given this situation, the prime elements in what I have termed a government that cares about people and a government that you can feel at ease with have to be those of building a society in which each and every person, including the elderly and the disadvantaged, can have a sense of comfort and affluence and can live free of anxieties. At the same time, we must also remember to work to push back our economic frontiers over the medium and longer term so that we do not forfeit the economic strength we need to sustain such a society. It will be too late to institute reforms intended to achieve such economic and social restructuring in the 21st century when our population has already grown old. These reforms need to be instituted now while we still have the will and wherewithal to reform our administrative and fiscal, tax, and economic structures.

State of the Economy and Economic Issues

Looking first at the state of the economy, while there is still serious concern about employment and the plight of small businesses, concern that is compounded by the yen's rapid appreciation, there have recently been increasing signs of promise. The prime economic issue for the immediate future is thus that of accelerating this trend and getting the economy firmly back on the road to recovery. Accordingly, economic recovery, including the smooth implementation of the FY1994 budget and the stabilization of currency exchange markets, will be the primary focus of my management of the economy and I will do everything possible to secure job-stability and to promote related policies.

Deregulation and Administrative, Fiscal, and Tax Reform

From the standpoint of the ordinary Japanese, as well as from the perspective of economic and social revitalization, it is imperative that we once again take a good hard look at the various regulations -- regulations aptly termed the interface between the government and the economy -- and ask ourselves if they are functioning the way they should given the current state of affairs or if they are serving to distort the economy. While we will of course move quickly to advance the deregulation measures announced recently, I am determined to go beyond those measures and to draw up a five-year Deregulation Action Program and to implement even further deregulation so as, for example, to facilitate entry into new business fields and to enhance Japanese purchasing power by reducing the price differentials between Japan and overseas.

Making a major effort to create a people-first government that is simple, fair, and transparent and to eliminate the adverse effects of an over-compartmentalized bureaucracy, I will also undertake forceful administrative reform including reviewing the entire public service system, streamlining and consolidating special corporations, achieving appropriate staffing levels at the national and local governments, establishing an administrative reform committee to monitor the state of deregulation, and studying arrangements for the greater disclosure of government information.

It is also imperative that we promote decentralization so that local areas can develop their own administrative structures suited to local conditions. Accordingly, I hope to draw up a policy outline by the end of the year setting forth the basic principles involved, issues to be addressed, and procedures to be followed and then to build quickly upon this policy outline to draft the necessary legislation for promoting decentralization.

Looking ahead to the aged society of the near future, it is obvious that some way will have to be found to enable the nation's finances to respond appropriately to the requirements of this new era. This means it is imperative that we put government finances, projected to deteriorate even further and to have a total of government bond outstanding in excess of 200 trillion yen, on a sound footing, and I will thus work to promote fiscal reform and the further restructuring of government finances.

On the tax issue, it is essential that, while heeding the need for restructuring those national and local government finances that are now in such dire straits, we create a tax structure that is balanced among income, asset, and consumption taxes so as to achieve a vigorous and comfortable welfare society. Thus along with seeking to promote administrative and fiscal reform and to ensure that the tax burden is equitably shared, I will work, within the context of tax reform including tax cuts in FY1995 and beyond, to promote discussion of comprehensive reform and, seeking the understanding of the people, to achieve tax reform by the end of the year. At the same time, from the perspective of putting the people first as we approach the 21st century, I will work earnestly on the review of the Basic Plan for Public Investment, including the reallocation of resources and an increment in the amount of the Plan, taking account of the actual progress made in the study on tax reform.

Expanding Economic Frontiers for Job Creation

If we are to maintain Japan's economic vigor and create new jobs for the future, it will be necessary to foster new industries that are technology- and creativity-intensive and to push back the economic frontiers. Promoting the greater use of information is particularly important for its potential for altering the traditional movement of people and products and radically transforming home lifestyles and corporate activity. Mindful of international initiatives such as those for building a global information infrastructure and of the many possibilities for international cooperation, the government intends to take a comprehensive approach to the task of making Japan an advanced information society.

Likewise, the education of our young people and the promotion of science and technology are extremely important if we are to ensure that Japanese society is truly creative and truly dynamic in the future. Characterizing these things as investments in our future, I also intend to work to promote academia, the arts, and sports and to create a society conducive to the emergence of new cultures and new economic activity.

Promoting Agriculture, Forestry, and Fishery

In addition to their important mission providing stable supplies of indispensable food resources, agriculture, forestry, and fishery also function to protect the environment and to preserve the land. At the same time, I believe that our rural farming and fishing villages are the spiritual home for vast numbers of people just as they are for me. Yet the Japanese agriculture, forestry, and fishery industries today face daunting challenges. Heedful of their multifaceted role and aware of the impact the Uruguay Round agreement will have on them, I intend to move quickly to study and implement comprehensive and concrete policies, including regional revitalization policies, so that people engaged in agriculture, forestry, and fishery occupations can have hope and pride in the future.

Creating a People-friendly, Environment-friendly Society

I believe that the essence of creating a better society must be to focus always on the individual and to create a social climate in which people can live at peace with their minds at ease. Accordingly, I am determined to do everything in my power to create a society in which people can live stress-free lives, which includes creating a society in which people can grow old without fear by creating trustworthy pension systems, enhancing nursing care provisions, and otherwise; enhancing support for families with children to create an environment in which children can grow up safe and sound to lead future generations; and creating a society in which everyone, including the enfeebled and the disabled, can participate as an independent individual to the best of his or her abilities. Moreover, I intend to pay full heed to environmental considerations so as to create beautifully distinctive landscapes and cityscapes where people can feel at home and to create a richly verdant Japan and richly verdant world.

Likewise, it is imperative that we create a society conducive to joint participation by both men and women in which both can give each other the thoughtful support they need and can share both their joys and their responsibilities. I will thus exert every effort for the creation of a society in which men and women can lead full and rewarding lives working side by side in government, in business, in the home, in the community, and elsewhere.

Conclusion

It is now less than 20 days since I was designated Prime Minister and, having seen for myself the strength of international expectations of Japan and the fervor of the hopes that the people have for this government, I have been made acutely aware of the grave responsibilities inherent in this office. Given the host of difficult issues facing us in Japan and elsewhere, I intend to emphasize anew my political precept of being constantly at one with the people and constantly learning from the people. Drawing heavily upon the people's wisdom and creativity, I am determined to exert all of the insights and courage at my command to formulate the right policies and then to move unflinchingly to implement the policies once decided upon so as to open the door to a new era in Japanese history.

In this, I ask for the understanding and cooperation of my fellow Diet members and all of the people.