Press Conference by the Chief Cabinet Secretary (Excerpt)

Opening Statement by Chief Cabinet Secretary Fujimura

CHIEF CABINET SECRETARY FUJIMURA: I would like to give an overview of the Cabinet meeting. The meeting approved eight items which were submitted to the Diet and also a cabinet order and personnel decisions. With regard to statements by ministers, Minister Masaharu Nakagawa made a statement concerning the FY2011 Food Education Promotion Policy and the Food Education Month, and the Minister of Finance made a statement concerning the appointment of heads of special companies. I made a statement concerning temporary acting ministers while ministers are away on overseas visits.

Before the Cabinet meeting, the fifth meeting of the Headquarters for Administrative Reform Implementation was held. At the meeting, the Headquarters decided on the guidelines regarding the disclosure and review of disbursements to public interest incorporated organizations. Also, the Prime Minister and Deputy Prime Minister requested that leadership is exercised in executing the disclosure program or process of the "review of administrative programs," which is to be implemented at all of the ministries. In addition, the Deputy Prime Minister requested that the ministries carry out a review of the use of official vehicles and make proactive use of the flextime work schedule system. I believe a detailed explanation and so on will be given at the press conference of the Deputy Prime Minister this afternoon.

Q&As

• The yen's rapid appreciation in the foreign exchange market

(Abridged)

REPORTER: The yen has been appreciating sharply in the foreign exchange market. Can you please discuss its impact on the Japanese economy and the response of the Japanese Government?

CHIEF CABINET SECRETARY FUJIMURA: I believe the Minister of Finance has responded to various questions. The Government believes that recently, in the foreign exchange market, it is noticeable that the yen's rapid appreciation is being driven by speculators out of concerns, in particular, concerns regarding the eurozone debt problem. It is clear that such one-sided yen appreciation does not reflect the actual state of the Japanese economy. Furthermore, the last G7 and others have repeatedly confirmed that excessive fluctuations in the foreign exchange market are undesirable. Therefore, the Government will continue to closely monitor foreign exchange movements with heightened tension, and if these excessive moves continue, the Government will have to respond decisively.