Japan considers another extra budget for disaster relief, Yomiuri says

Japan is contemplating the creation of an additional budget specifically for relief spending to aid in the reconstruction of areas affected by disasters such as earthquakes and heavy rain, according to the Yomiuri newspaper. This will be the second extra budget this fiscal year, and it is expected to be of a modest size, as stated by the newspaper, which cited unnamed sources.

The government intends to commence work on the extra budget in November, with the aim of presenting it during the initial parliamentary session that commences early in the new year, the newspaper further reported. The matter is not under discussion with Prime Minister Sanae Takaichi’s office, as of the time of writing. Takaichi had previously expressed her intention to end Japan’s long-standing tradition of drafting significant extra budgets, and to streamline essential expenditures into the regular annual budget.

However, the administration is contemplating the possibility of a smaller second extra budget, primarily intended for disaster relief efforts, including reconstruction following earthquakes and heavy rainfall. This decision comes after the government released an additional budget worth approximately 3 trillion yen ($19 billion) in June, which was primarily used to provide gasoline subsidies intended to alleviate the financial strain on households due to soaring living costs, which were influenced by the ongoing conflict in the Middle East.