Press Conference by the Chief Cabinet Secretary (Excerpt)

Opening Statement by Chief Cabinet Secretary Fujimura

• An overview of the extraordinary Cabinet meeting
• The Prime Minister's instruction concerning the formulation of economic measures

CHIEF CABINET SECRETARY FUJIMURA: First of all I would like to give an overview of the extraordinary Cabinet meeting. In terms of statements by ministers, Prime Minister Noda and Minister Maehara made statements concerning the formulation of economic measures and the Minister of Finance made a statement concerning the utilization of Government reserves.

I would like to report the instructions received from the Prime Minister in the extraordinary Cabinet meeting concerning the formulation of economic measures. I believe that reference materials have been distributed to you. First of all the Prime Minister noted the necessity of creating a structure that will enable the full-fledged execution of budgetary allocations for this fiscal year, for which it will be important to concentrate all efforts on the swift passage and approval of the bill on special measures for government bonds. In addition, it will be necessary to decide by the end of next month at the latest about the following three points that form the basis for economic measures, and put them swiftly into implementation. The three points are: (1) bringing forward the realization of the Comprehensive Strategy for the Rebirth of Japan, (2) Measures to ensure recovery and reconstruction from the Great East Japan Earthquake in the near term, and disaster prevention and reduction measures in preparation for a large-scale disaster, and (3) economic revitalization measures that are not dependent on fiscal measures, such as regulatory reform and the promotion of private sector investment and funding. The Prime Minister also gave instructions to consider a decision on the utilization of Government reserves within this month for measures that are of greatest urgency, prior to the formulation of economic measures. Furthermore, for economic and fiscal management from now, including the passage of the bill on special measures for government bonds and the implementation of economic measures, the cooperation of the opposition parties will be essential. The Prime Minister stated that he would continue to call on the opposition parties for their cooperation. After this press conference Minister Maehara and the Minister of Finance will each be giving a press conference of their own. For further details please direct your inquiries to these ministers.

Q&As

• The Government's recognition on the current economic situation
• The Supreme Court's ruling on the disparity in the relative weight of one vote in the House of Councilors' election in 2010

(Abridged)

REPORTER: In the reference materials distributed, the phrase "... based on the current economic situation ..." is used. What is the Government's recognition of the current economic situation?

CHIEF CABINET SECRETARY FUJIMURA: Given that the most recent Monthly Economic Report revised the economic outlook downward for the third consecutive month, the Government's recognition of the current economic status is that downside risks can also be envisaged given the present sluggish economic activity. It based on just such a recognition that it has been deemed necessary to overcome deflation in the near term and accelerate measures towards economic revitalization. This was the basis for the Prime Minister's instructions today.

(Abridged)

REPORTER: On a different issue, the Supreme Court has issued a ruling that the disparity in the relative weight of one vote in the House of Councilors' election in 2010 was unconstitutional. Although this is an issue that relates to the Diet, what is the Government's reaction to the ruling?

CHIEF CABINET SECRETARY FUJIMURA: The Government takes the ruling of the Supreme Court with the utmost seriousness. Although I am, as yet, not aware of the details of the ruling, I believe that the Government must examine the content of the ruling in detail and deal with the issue appropriately. The issue of the election system for the House of Councilors, including the regulations concerning the allocation of seats, is one that has been discussed to date by all parties and parliamentary groups. Whatever the case, reform of the election system for the House of Councilors is an important issue and deliberations will be advanced by all parties and groupings in the Diet. The Government, for its part will also respond appropriately, based on the outcomes of such deliberations.

(Abridged)