Press Conference by the Chief Cabinet Secretary (Excerpt)

Opening Statement by Chief Cabinet Secretary Suga

• An overview of the Cabinet meeting
• The Prime Minister's plan to visit Fukushima Prefecture
• The handling of North Korea schools in Japan in relation to the public high school tuition waiver
• The informal appointment of the expert members of the Council on Economic Fiscal Policy

CHIEF CABINET SECRETARY SUGA: I would like to give an overview of the Cabinet meeting. The meeting approved two personnel decisions. With regard to statements by ministers, the Minister for Internal Affairs and Communications made a statement concerning the results of the labor force survey, consumer price index, and the results of the household budget survey. The Minister of Health, Labour and Welfare made a statement concerning the national ratio of jobs to applicants (November 2012). The Minister for Internal Affairs and Communications made a statement concerning the Senior Vice Minister and Parliamentary Secretary who will support the Minister for Postal Service Privatization. The Minister of Economy, Trade and Industry made a statement concerning the Senior Vice Minister and Parliamentary Secretary who will support the Minister in charge of Industrial Competitiveness. Prime Minister Abe made a statement concerning acting Ministers while Ministers in charge are away on overseas visits.

In ministerial discussions following the Cabinet meeting, Minister of Education, Culture, Sports, Science and Technology Shimomura, Minister Furuya, and Prime Minister Abe, respectively, made a statement concerning the handling of North Korean schools in Japan vis-?-vis the High School Enrollment Support Fund System.

I would like to speak about Prime Minister Abe's visit to Fukushima. Regarding his itinerary, Prime Minister Abe is scheduled to visit Fukushima Prefecture tomorrow, Saturday, December 29. Specifically, he will visit Fukushima Daiichi Nuclear Power Station of Tokyo Electric Power Company. The Prime Minister will give words of encouragement to those onsite who are engaged in the work of handling the accident. Also, he is scheduled to observe the premises of the nuclear power station and confirm the progress of the handling of the nuclear power station accident. In addition, the Prime Minister will visit Kawauchi Village, where he is scheduled to hear the stories of those who are evacuated as a result of the nuclear power station accident and see the status of the reconstruction initiatives.

I would like to speak about the handling of North Korean schools in Japan in relation to the public high school tuition waiver. At today's ministerial discussions following the Cabinet meeting, the Minister of Education, Culture, Sports, Science and Technology proposed that procedures are taken so as not to give a tuition wavier for North Korean schools in Japan, as the waiver currently does not have the public's understanding due to the lack of progress made on the abduction issue and the schools' close relationship with the General Association of Korean Residents in Japan. The Prime Minister instructed that the Minister should ensure that this process moves along. This is the policy of the entire Government, and the Minister of Education, Culture, Sports, Science and Technology is asked to deal with this matter, bearing in mind the instructions of the Prime Minister.

I would like to speak about the informal appointment of the expert members of the Council on Economic and Fiscal Policy. I would like to announce the expert members of the Council on Economic and Fiscal Policy, who have been informally appointed along with the inauguration of the second Abe Cabinet, as shown in the material in front of you. They are (honorifics omitted): Motoshige Ito, Professor of Graduate School of Economics, Faculty of Economics, The University of Tokyo; Yoshimitsu Kobayashi, President and Chief Executive Officer of Mitsubishi Chemical Holdings Corporation; Norio Sasaki, Director, President and CEO of Toshiba Corporation; and Susumu Takahashi, Chairman of The Japan Research Institute, Limited. We have decided to ask these four people with superior insights and global perspectives - two each from the business community and academia, who are suited for supporting the Prime Minister's leadership. It is expected that in the next several days they will be formally appointed as members of the Council on Economic and Fiscal Policy following the necessary procedures.

Q&As

• The informal appointment of the expert members of the Council on Economic and Fiscal Policy
• Consideration on the public-private foreign bond fund
• Major league baseball player Hideki Matsui's retirement from professional baseball
• A Japan-Russia telephone summit dialogue
• The Council on Economic and Fiscal Policy
• Japan-China relations (the Senkaku Islands)

REPORTER: Although you have just provided us a brief explanation of the four members of the Council, can you please tell us what specific criteria were utilized to select these people? In particular, what the idea was behind the selection of the two people from the business community?

CHIEF CABINET SECRETARY SUGA: The four people I have just announced are those who will support the leadership of the Prime Minister with their wisdom. I understand that the Prime Minister gave much thought to selecting these two people: a business manager with the ability to take action, who has made decisive business decisions from a global perspective; and an economist with superior communication skills, who offers clear explanations of what is at the essence of the complex economic situation.

REPORTER: With regard to the Council on Economic and Fiscal Policy, when will you hold the first meeting of the Council? Also, which Cabinet members will join as permanent members of the Council?

CHIEF CABINET SECRETARY SUGA: Regarding the timing of the meeting of the Council, as the compilation of economic measures is indeed a pressing task, we hope to convene the meeting as quickly as possible early in the New Year and listen to the opinions. As for the members, the Prime Minister, myself, the Minister of Finance, the Minister of State for Economic and Fiscal Policy, the Minister for Internal Affairs and Communications, and the Minister of Economy, Trade and Industry will be attending.

REPORTER: Concerning a different matter, according to some news reports today, the Prime Minister instructed Deputy Prime Minister and Minister of Finance Aso to study and materialize the public-private foreign bond fund, which was stated in the policy platform of the Liberal Democratic Party (LDP). Can you verify the facts? Also, what is the Government's intention on whether such policies will be incorporated into the emergency economic measures in some form?

CHIEF CABINET SECRETARY SUGA: As you are aware, it is the utmost priority of the Abe Cabinet to overcome deflation, and we intend to explore what can be done through public-private coordination and take all kinds of responses and measures. This has been stated at various instances. In this context, we are examining which measures will be effective. We are examining a variety of options.

REPORTER: Is the establishment of a fund for the purchase of foreign bonds, including the foreign bonds of the Bank of Japan, one of  the options?

CHIEF CABINET SECRETARY SUGA: I ask that you direct this question to Minister Aso.

(Abridged)

REPORTER: Baseball player Hideki Matsui who played for both Japanese professional baseball and Major League Baseball has decided to retire from professional baseball. Can you please share your thoughts on this?

CHIEF CABINET SECRETARY SUGA: He is an outstanding player and a major player who hit 507 home runs in Japan and the United States (U.S.) combined and long continued to give the Japanese people hope and great happiness. In particular, he had a remarkable baseball career - of course in Japan but also in the U.S., winning the MVP award at the 2009 World Series. That is all the more why I was extremely surprised and at the same time sad as it seems he can still manage to do much more. I hope he continues to play an active role in the development of professional baseball in Japan, of course, as well as globally, including the U.S.

REPORTER: According to some news reports, a Japan-Russia summit dialogue will be held today by telephone. Can you verify the facts? Furthermore, I believe there were talks about dispatching former Prime Minister Mori as a special envoy. Can you please elaborate on the current considerations, timing, and so forth?

CHIEF CABINET SECRETARY SUGA: I, too, am aware of today's telephone meeting following the Prime Minister's assumption of office. Japan-Russia relations are extremely important. As former Prime Minister Mori has been exerting extensive efforts into Japan's diplomacy with Russia and is friends with President Putin, we are now in the stage of examining this and other possibilities.

REPORTER: Returning to the issue of the Council on Economic and Fiscal Policy, I understand that there was an insistence on selecting those who are currently presidents of companies. I believe in actuality the work will not just take place at the Council but will also entail preparing papers or making prior adjustments. I would think current company presidents just have no time to be doing this. Do you not have any concerns about the actual operational aspects?

CHIEF CABINET SECRETARY SUGA: I do not believe so. As to whether there was an insistence on selecting current company presidents, I do not really know. Nevertheless, these people are currently actively engaged across the world on the frontline, and I believe the opinions of such people are extremely valuable.

REPORTER: I would like to ask a question regarding the Senkaku Islands. Japan-China relations remain tense in the territorial seas around Senkaku and elsewhere, and Mr. Abe has called for the close partnership among the relevant ministers. Moving forward, how does the Abe administration specifically intend to hold consultations or form partnerships among the relevant ministers with regard to Senkaku?

CHIEF CABINET SECRETARY SUGA: As I have also stated before, we attach extreme importance to Japan-China relations, and we intend to promote the mutually beneficial relationship based on common strategic interests from a broad perspective. At the same time, the Senkaku Islands are an inherent part of the territory of Japan in light of historical facts and based upon international law, and we will address this matter with a firm resolve to protect the territories of Japan. Concurrently, in East Asia, too, Japan, as a major power with a responsibility to ensure peace and stability, will make efforts from a broad and strategic perspective. Nothing more or less.

(Abridged)