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Speeches and Statements by Prime Minister Junichiro Koizumi


(Provisional Translation)

Basic Policy "Instructions from Prime Minister Junichiro Koizumi at the First Cabinet Meeting Following the Second Cabinet Reshuffle"

Monday, September 22, 2003

In the two years and five months since April of 2001, I have undertaken to realize structural reform under the policies of "no growth without reform," "leave to the private sector what it can do," and "leave to the localities what they can do." The seeds of reform that we have sown are beginning to bud. Continuing with these policies, the Cabinet will forge ahead with the following reforms so that those buds of reform grow into a large tree.

1.Revitalization of the economy
Press ahead with financial, taxation, regulatory and public expenditure reforms to bring out the vitality of the private sector and the high motivation of regions. Overcome deflation and revitalize the economy.
Pursue the "Program to Create 5.3 Million Jobs". Take further action for employment including support for the young as well as for middle to old age.
Decentralize power, enabling local governments to make their own decisions. Promote the reform package of the three issues (subsidies, local allocation taxes and transfer of tax revenue sources to local government). Revitalize the localities through special zones for structural reform, urban renaissance and tourism.
Revitalize the industries. Support motivated small and medium sized firms which are backbones to local economies.
Secure food safety and confidence in food. Provide support to agricultural management with motivation and competence.
Introduction of low- emission vehicles, "zero waste action campaign" and green energy. Environmental conservation and economic growth go hand in hand through science and new technologies.

2.Securing People's "Safety" and Reassurance in Future Life
Strengthen measures against crime. Revive "Japan, the safest country in the world."
Reform pension, medical and care systems to establish an equitable and sustainable social security system of mutual support of the young and the aged. Pursue "zero waiting for nursery school" program and support family raising.
Intellectual, moral, physical and food education. Educational reforms for "improving human resources".
Establish a "nation founded on intellectual property" and promote nation built on wealth of culture and arts.

3.Thorough Administrative and Fiscal Reform
Burden will not be bequeathed to the age of our children and grandchildren. Aim for "a positive primary balance of government by the early 2010's"
Privatize postal services (postal savings, postal life insurance, mail) from 2007. Draw up privatization plans by autumn of 2004, and introduce legislative amendment to the Diet in 2005.
Respect in principle the opinions of the Privatization Promotion Committee of the Four Highway Public Corporations, and introduce legislation to the next ordinary session of the Diet of 2004, for privatization from FY2005.

4.Diplomacy and Security
North Korean issue, Iraqi reconstruction assistance and anti-terrorism measures - Pursue foreign and security policies of our initiative, attaching importance to Japan-United States alliance as well as international coordination.
5.Politics
Promote political reform, and realize politics worthy of the trusted of the people.