Press Conference by the Chief Cabinet Secretary (Excerpt)

JAPANESE

Opening Statement by Chief Cabinet Secretary Fujimura

CHIEF CABINET SECRETARY FUJIMURA: Before I discuss the extraordinary Cabinet meeting, I would like to mention that today, from 5pm, the ninth meeting of the Reconstruction Headquarters in response to the Great East Japan Earthquake was held. The meeting today was held to further crystallize the Basic Guideline for Reconstruction that was approved in July. The following two items were on the agenda. The first was "the third supplementary budget and securing financial resources for reconstruction," which was presented by Minister of Finance Azumi. Among the items that Minister Azumi reported, the outline of the taxation measures to finance the reconstruction was approved by the Reconstruction Headquarters as presented. The second item on the agenda was "reconstruction-related budget, etc." Minister for Reconstruction in response to the Great East Japan Earthquake Hirano reported on the status of considerations on: (1) The outline of the reconstruction-related budget that will be provided for in the draft third supplementary budget; (2) Special zones for reconstruction and user-friendly grants; and (3) Reconstruction Agency; respectively. For details relating to this matter, please direct your questions to the Secretariat of the Reconstruction Headquarters, as Minister of Reconstruction Hirano is giving a press conference.

Next, I would like to give an overview of the extraordinary Cabinet meeting. The meeting approved the Basic Policy on the FY2011 Third Supplementary Budget and Financial Resources for Reconstruction. The contents of the basic policy were explained by the Minister of Finance. With regard to statements by ministers, Minister Hirano made a statement concerning the review of the work plan and time schedule concerning reconstruction measures.

Let me explain the Basic Policy on the FY2011 Third Supplementary Budget and Financial Resources for Reconstruction, which was approved at the extraordinary Cabinet meeting. While the calculation may be subject to changes after careful examination, additional expenditures of roughly 12 trillion yen in total are planned for the third supplementary budget. Included in this figure is 9 trillion yen, roughly, for expenses related to the Great East Japan Earthquake, omitting the 2.5 trillion yen for pensions. The financial resources for reconstruction moving forward, including financial resources for the third supplementary budget, are as agreed by the Government and ruling parties on September 28. In line with this Basic Policy, we will begin drafting bills for the budget and for securing financial resources for reconstruction, to be submitted to the Diet. Discussions between the ruling and opposition parties will continue, and I believe based on the outcomes of the discussions, revisions may be made to the bills or additional budgetary measures may be taken as necessary. For details relating to this matter, please direct your questions to the Ministry of Finance.

Q&As

(Abridged)