Takaichi states financial resources for food tax reduction will not rely on deficit bonds

First, with regard to securing the financial resources needed for the reduction in the consumption tax rate on food and beverages, we will secure those resources without relying on the issuance of deficit-financing bonds, in a manner that will ensure the confidence of the market. I do not believe there is any need for concern regarding that. We have a solid outlook for securing the necessary resources. The Takaichi Cabinet will address a number of important challenges, including properly reflecting economic and price developments and establishing the “Strong and Prosperous Japan” Investment Framework, and there are various other fiscal needs as well. As for securing the financial resources for all of those needs, we will consider this matter while keeping in view the overall image of the budget formulation reform that we will undertake in the future. Going forward, within the very broad framework of budget formulation reform, we will review both expenditures and revenues while carefully assessing trends in tax revenues and other factors. At the same time, we will carefully assess the fiscal scale that is feasible as we steadily reduce the government debt-to-GDP ratio. As we did last year, we will appropriately control the total amount of government bond issuance for the full year, combining the initial and supplementary budgets, while responding to various fiscal needs. Through these efforts, under our approach of responsible and proactive public finances, we will achieve a strong economy and ensure fiscal sustainability in an integrated manner. We will secure market confidence by carefully explaining this policy to market participants and others. That is all. Thank you.