Prime Minister Shinzo Abe will introduce Friday a 10.3-trillion-yen ($117 billion) economic stimulus package that includes 1.6 trillion yen for earthquake and tsunami reconstruction efforts, Jiji Press said.
The quake reconstruction purse will be used to rebuild ports and roads in areas devastated in the 2011 quake and tsunami disaster, the news agency said late Thursday, citing government officials.
The total package will include corporate tax cuts in a bid to create jobs and boost salaries, and building works spending to fix the country’s ageing infrastructure, the report said.
Abe earlier this week pledged to revive Japan’s slowing economy with much-clamoured-for regulation reforms and by backing innovations that would help manufacturers regain their edge.
On Wednesday a defence ministry official said Japan plans to spend 180.5 billion yen on its military over the next few months as part of the expected stimulus package, amid growing concerns over a rising China.
Stocks have soared since Abe’s victory last month and the sky-high yen has tumbled as investors back his tough talk on forcing aggressive monetary easing measures from the Bank of Japan.
The Tokyo market’s upward swing has been largely hinging on expectations of major moves from Japan’s new government, which has pledged a series of measures to stoke the world’s third-largest economy.
Japan to introduce stimulus package Friday: report
