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Japan unveils $16.8Bln package to combat price hikes: Reports

  • By Al Mayadeen English
  • Source: Agencies
  • 25 Mar 2023 15:46
2 Min Read

A cabinet meeting is scheduled for March 28 to decide how to allocate budget reserves for the current fiscal year, according to the report.

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  • A fishmonger walks through a street market in Tokyo's Tsukiji area on April 22. (AFP)
    A fishmonger walks through a street market in Tokyo's Tsukiji area on April 22. (AFP)

Japan on Saturday unveiled an economic package worth about $16.8 billion to cushion the highest inflation seen in decades, the Kyodo news agency reported on Saturday, quoting Natsuo Yamaguchi, the leader of the ruling party's coalition partner Komeito.

"We intend to stand firm against price hikes," Yamaguchi added during his speech in Saitama Prefecture, as reported by Kyodo. 

A cabinet meeting is scheduled for March 28 to decide how to allocate budget reserves for the current fiscal year, according to the report.

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The news agency said that the funds will be used for low-income family support, including payments of 50,000 yen for each child in such homes, as well as for subsidies to cover the cost of liquefied petroleum gas.

The most recent statistics from the Statistical Bureau of Japan showed that core consumer prices—which exclude the price of perishable food—increased by 3.1% in February after jumping by 4.2% a month earlier.

Since the 1990s, Japan has swung between periods of sluggish inflation and deflation and continues to keep interest rates at ultra-low levels as it tries to kickstart its economy.

Read next: Inflation in Japan highest in more than four decades

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