Takaichi's fiscal management stance as seen in FY26 initial budget proposal
Key points
-
FY26 general account swelled to JPY122.3 trillion, largest on record, however, due to increased tax revenues, other factors, primary balance projected to shift to surplus of JPY1.3 trillion
-
Calendar-based issuance reduced to less than JPY170 trillion; reducing issuance of super-long JGBs while maintaining that for medium/long-term JGBs
-
Based on "Bohn's condition," current administration's policy management can be viewed as focusing on soundness (= curbing excessive market concerns)