ID :
84718
Fri, 10/16/2009 - 01:30
Auther :
Shortlink :
http://m.oananews.org//node/84718
The shortlink copeid
Hatoyama gov't may miss goal of curbing state spending in FY 2010
+
TOKYO, Oct. 15 Kyodo -
Japan's new government is unlikely to attain its target of curbing state
spending in fiscal 2010 due to increases in necessary expenses for new programs
aimed at boosting disposable household income, Kyodo News findings showed
Thursday.
On a request basis, the general-account state budget for the year starting next
April is estimated at more than 90 trillion yen, compared with 89.14 trillion
yen for fiscal 2009 and the current all-time high of 89.15 trillion yen for
fiscal 2004, according to the findings based on the spending plans of central
government offices.
The deadline for ministries and agencies to submit their budgetary requests to
the Finance Ministry was Thursday.
The ministry is scheduled to release the total amount of budgetary requests for
fiscal 2010 on Friday.
Prime Minister Yukio Hatoyama, who assumed office one month ago, has asked all
central government offices not to seek more than they received in the initial
budget for the current fiscal year.
Hatoyama's Cabinet is eager to trim wasteful spending as much as possible to
save funds for programs pledged by the Democratic Party of Japan in the Aug. 30
general election, which require a total of 7.1 trillion yen in fiscal 2010.
But some ruling party lawmakers said it is easier said than done when it comes
to raising money for the programs without making the budget bigger than the
initial budget for fiscal 2009, which stood at a record 88.55 trillion yen.
Hatoyama told reporters Thursday evening that additional outlays will only be
allowed if they are connected to the DPJ's election platform, when asked if he
would tolerate the possible expansion of budgetary requests.
''Apart from that, I'm asking (ministries and agencies) to hold down'' their
planned expenditures and bring them to levels lower than they secured in the
initial budget for the current fiscal year, he said.
The prime minister said outlays required to realize the party's platform could
make the total amount of the next general-account state budget larger than that
in fiscal 2009, but added that he is hoping to achieve the government's goal of
reining in spending ''in total'' when including the special-account budget.
Hatoyama also suggested that the government could give up or delay the
implementation of some of its election pledges if the public opposes the
issuance of additional debt-covering bonds, to restore Japan's fiscal health.
The Health, Labor and Welfare Ministry, which is struggling with rising social
welfare costs, is seeking 28.89 trillion yen, an increase of 3.73 trillion yen
from the initial budget for fiscal 2009.
The ministry is in charge of many of the DPJ's flagship policies, including
monthly allowances for families with children.
The Internal Affairs and Communications Ministry is seeking 18.59 trillion yen,
up 4.8 percent, while the Education, Culture, Sports, Science and Technology
Ministry is seeking 5.76 trillion yen, up 9.0 percent.
In contrast, the Land, Infrastructure, Transport and Tourism Ministry has
managed to slice its budget request, down 2.6 percent to 6.19 trillion yen, by
drastically cutting expenditures for public works.
The envisaged outlays for public works are down about 14 percent from fiscal
2009 to 4.92 trillion yen, far better than the target set by the previous
government led by the Liberal Democratic Party of cutting from 3 to 5 percent
from the previous fiscal year.
The DPJ won the general election by a landslide, ending more than half a
century of nearly unbroken rule by the LDP, with promises such as providing
child-rearing allowances and scrapping expressway tolls.
Given that the DPJ has promised to eliminate wasteful spending and vested
interests that it ascribes to the LDP's time in government, it could lose its
hard-won credibility if it fails to hold down the outlays of ministries and
agencies in the process of drafting the forthcoming budget toward the end of
this year.
Ministries and agencies had already submitted their budgetary requests for the
next fiscal year to the Finance Ministry by late August, when the LDP
controlled the government.
But the DPJ, after taking government, decided to draft the upcoming state
budget from scratch.
The Finance Ministry had estimated that the general-account budget for fiscal
2010 would stand at about 92.13 trillion yen based on the August requests.
In Japan, the annual state budget is normally drafted by the end of December to
make it ready for approval by the Diet ahead of the outset of each fiscal year.
==Kyodo
2009-10-15 23:36:21
TOKYO, Oct. 15 Kyodo -
Japan's new government is unlikely to attain its target of curbing state
spending in fiscal 2010 due to increases in necessary expenses for new programs
aimed at boosting disposable household income, Kyodo News findings showed
Thursday.
On a request basis, the general-account state budget for the year starting next
April is estimated at more than 90 trillion yen, compared with 89.14 trillion
yen for fiscal 2009 and the current all-time high of 89.15 trillion yen for
fiscal 2004, according to the findings based on the spending plans of central
government offices.
The deadline for ministries and agencies to submit their budgetary requests to
the Finance Ministry was Thursday.
The ministry is scheduled to release the total amount of budgetary requests for
fiscal 2010 on Friday.
Prime Minister Yukio Hatoyama, who assumed office one month ago, has asked all
central government offices not to seek more than they received in the initial
budget for the current fiscal year.
Hatoyama's Cabinet is eager to trim wasteful spending as much as possible to
save funds for programs pledged by the Democratic Party of Japan in the Aug. 30
general election, which require a total of 7.1 trillion yen in fiscal 2010.
But some ruling party lawmakers said it is easier said than done when it comes
to raising money for the programs without making the budget bigger than the
initial budget for fiscal 2009, which stood at a record 88.55 trillion yen.
Hatoyama told reporters Thursday evening that additional outlays will only be
allowed if they are connected to the DPJ's election platform, when asked if he
would tolerate the possible expansion of budgetary requests.
''Apart from that, I'm asking (ministries and agencies) to hold down'' their
planned expenditures and bring them to levels lower than they secured in the
initial budget for the current fiscal year, he said.
The prime minister said outlays required to realize the party's platform could
make the total amount of the next general-account state budget larger than that
in fiscal 2009, but added that he is hoping to achieve the government's goal of
reining in spending ''in total'' when including the special-account budget.
Hatoyama also suggested that the government could give up or delay the
implementation of some of its election pledges if the public opposes the
issuance of additional debt-covering bonds, to restore Japan's fiscal health.
The Health, Labor and Welfare Ministry, which is struggling with rising social
welfare costs, is seeking 28.89 trillion yen, an increase of 3.73 trillion yen
from the initial budget for fiscal 2009.
The ministry is in charge of many of the DPJ's flagship policies, including
monthly allowances for families with children.
The Internal Affairs and Communications Ministry is seeking 18.59 trillion yen,
up 4.8 percent, while the Education, Culture, Sports, Science and Technology
Ministry is seeking 5.76 trillion yen, up 9.0 percent.
In contrast, the Land, Infrastructure, Transport and Tourism Ministry has
managed to slice its budget request, down 2.6 percent to 6.19 trillion yen, by
drastically cutting expenditures for public works.
The envisaged outlays for public works are down about 14 percent from fiscal
2009 to 4.92 trillion yen, far better than the target set by the previous
government led by the Liberal Democratic Party of cutting from 3 to 5 percent
from the previous fiscal year.
The DPJ won the general election by a landslide, ending more than half a
century of nearly unbroken rule by the LDP, with promises such as providing
child-rearing allowances and scrapping expressway tolls.
Given that the DPJ has promised to eliminate wasteful spending and vested
interests that it ascribes to the LDP's time in government, it could lose its
hard-won credibility if it fails to hold down the outlays of ministries and
agencies in the process of drafting the forthcoming budget toward the end of
this year.
Ministries and agencies had already submitted their budgetary requests for the
next fiscal year to the Finance Ministry by late August, when the LDP
controlled the government.
But the DPJ, after taking government, decided to draft the upcoming state
budget from scratch.
The Finance Ministry had estimated that the general-account budget for fiscal
2010 would stand at about 92.13 trillion yen based on the August requests.
In Japan, the annual state budget is normally drafted by the end of December to
make it ready for approval by the Diet ahead of the outset of each fiscal year.
==Kyodo
2009-10-15 23:36:21
