Latest news with #Komeito
Japan Times
3 days ago
- Business
- Japan Times
Japan's Lower House OKs revised pension reform bill
The House of Representatives on Friday approved a revised pension reform bill that calls for a measure to shore up basic pension benefits. The bill passed the lower chamber during a plenary meeting by a majority vote, with support from the ruling camp and the main opposition Constitutional Democratic Party of Japan. The bill is expected to be enacted during the current session of parliament ending in June after being sent to the House of Councilors. The level of basic pension benefits for all citizens is expected to decrease by about 30% in three decades due to the country's shrinking and aging population. The revised bill, submitted jointly by the ruling coalition of the Liberal Democratic Party and Komeito, plus the CDP, features a supplementary provision that calls for shoring up basic pension benefits through the use of reserve funds from the kōsei nenkin public pension program for corporate and government workers that pay additional benefits, if the 2029 review of public pension finances predicts a significant decrease in basic pension benefits. The government initially sought to include a basic pension improvement plan in the pension reform bill but eventually dropped it following criticism among some LDP members that the planned measure would be a misappropriation of kōsei nenkin funds. The government came under fire for the removal of the improvement plan. This led the LDP and Komeito to accept a CDP proposal to revise the bill to put back the plan.
Yomiuri Shimbun
6 days ago
- Business
- Yomiuri Shimbun
LDP, Komeito, CDPJ Agree on Revised Pension Reform Bills; Enactment Expected by End of Current Parliamentary Session
The Yomiuri Shimbun Members of the Liberal Democratic Party, Komeito and and the Constitutional Democratic Party of Japan are seen after a meeting on pension reform-related bills at the Diet Building on Monday. The Liberal Democratic Party, Komeito and the Constitutional Democratic Party of Japan on Tuesday formally agreed on pension reform bills to increase the level of benefits paid by the basic pension program, which is open to all people, including those who do not work for a company. During a meeting of their leaders, the parties agreed to add a supplementary provision to the bills to boost the basic pension program by utilizing reserves from the employees' pension program. 'The pension system is a major concern linked to the lives of the people. It is truly meaningful for the ruling and opposition parties to reach an agreement,' LDP Secretary General Hiroshi Moriyama said at a press conference before the meeting. The three parties plan to jointly submit the bills to the House of Representatives Health, Labor, and Welfare Committee. They are expected to be enacted by the end of the current Diet session on June 22.
CNA
6 days ago
- Business
- CNA
Japan to closely monitor bond market, finance minister says
TOKYO :Japanese Finance Minister Katsunobu Kato said on Tuesday that the government will closely monitor the bond market ahead of the auction of super-long debt this week, warning that higher interest rates could put pressure on state finances. "Rising interest rates could increase interest payments (on government debt) and pressure state finances for policies," Kato said at a press conference. "We'll carry out appropriate government debt management while closely monitoring the market developments and continuing dialogue with investors," he added. Long-dated debt has been sold off around the world in recent weeks, and in Japan, concerns have been exacerbated by a decrease in bond buying by the central bank and political jockeying over stimulus. All eyes will be on the sale of 40-year bonds, Japan's longest tenor, on Wednesday. The Japanese government said on Tuesday that it would use 388 billion yen ($2.72 billion) from a reserve fund to finance an emergency economic package to alleviate any impact on industries and households from new U.S. import tariffs. The package includes support for corporate financing as well as subsidies to lower gasoline prices and partially cover electricity bills. While the government is considering compiling additional stimulus measures ahead of an upper house election in July, a senior lawmaker from the ruling Liberal Democratic Party said it agreed with its junior coalition partner Komeito that fresh issuance of deficit-financing bonds should be avoided. Asked about a report that SoftBank Group Chief Executive Masayoshi Son is proposing to establish a Japan-U.S. sovereign wealth fund, Kato said at the news conference that the government, at least at the finance ministry, was not aware of the specifics of such a plan. The Financial Times reported on Sunday that Son was floating the idea of creating a joint sovereign fund to make technology and other investments across the United States. ($1 = 142.3900 yen)
Reuters
6 days ago
- Business
- Reuters
Japan to closely monitor bond market, finance minister says
TOKYO, May 27 (Reuters) - Japanese Finance Minister Katsunobu Kato said on Tuesday that the government will closely monitor the bond market ahead of the auction of super-long debt this week, warning that higher interest rates could put pressure on state finances. "Rising interest rates could increase interest payments (on government debt) and pressure state finances for policies," Kato said at a press conference. "We'll carry out appropriate government debt management while closely monitoring the market developments and continuing dialogue with investors," he added. Long-dated debt has been sold off around the world in recent weeks, and in Japan, concerns have been exacerbated by a decrease in bond buying by the central bank and political jockeying over stimulus. All eyes will be on the sale of 40-year bonds, Japan's longest tenor, on Wednesday. The Japanese government said on Tuesday that it would use 388 billion yen ($2.72 billion) from a reserve fund to finance an emergency economic package to alleviate any impact on industries and households from new U.S. import tariffs. The package includes support for corporate financing as well as subsidies to lower gasoline prices and partially cover electricity bills. While the government is considering compiling additional stimulus measures ahead of an upper house election in July, a senior lawmaker from the ruling Liberal Democratic Party said it agreed with its junior coalition partner Komeito that fresh issuance of deficit-financing bonds should be avoided. Asked about a report that SoftBank Group (9984.T), opens new tab Chief Executive Masayoshi Son is proposing to establish a Japan-U.S. sovereign wealth fund, Kato said at the news conference that the government, at least at the finance ministry, was not aware of the specifics of such a plan. The Financial Times reported on Sunday that Son was floating the idea of creating a joint sovereign fund to make technology and other investments across the United States. ($1 = 142.3900 yen)
Japan Times
24-05-2025
- Business
- Japan Times
Bill that would raise Japanese pension benefits on track to pass parliament
The Liberal Democratic Party and Komeito are preparing to accept an opposition party proposal to amend a pension reform bill, paving the way for its enactment during the current session of parliament. The ruling bloc will back the Constitutional Democratic Party of Japan's amendment, which includes a plan to raise basic pension benefits, senior LDP and Komeito members said Saturday. With the proposal getting the nod, including from LDP members who had demanded the increased benefits be scrapped from the original draft, the bill is likely to pass during the current session, which ends June 22. The level of basic pension benefits, provided to all citizens, is expected to slump over time due to the country's shrinking and aging population. The government had sought to include in the bill a plan to hike basic pension benefits by tapping reserves of the kōsei nenkin public pension program for corporate and government workers, as well as state coffers. However, some in the LDP expressed concerns that this would briefly lower kōsei nenkin benefits and create a fresh burden for citizens. Senior party members in the Upper House opposed the plan, out of worries about its impact on this summer's election. The benefit-raising plan is absent from the pension reform bill, which the government recently submitted to parliament. The CDP slammed the move, saying that the bill lacks the most important element, comparing it to an "anpan (bean paste bun) without bean paste." On Thursday, it presented to the ruling bloc an outline of its proposed amendment saying that basic pension benefits would be hiked if benefit levels are found to decrease in the government's 2029 public pension review. Senior LDP members including Secretary-General Hiroshi Moriyama and Masaji Matsuyama, the party's secretary-general in the Upper House, held intermittent discussions Friday and agreed broadly to reflect the CDP amendment in the bill as a supplementary provision. The CDP's proposed amendment "is in line with Komeito's original call," Komeito leader Tetsuo Saito told reporters Saturday in Satte, Saitama Prefecture. "It will lead to a sense of security for the working generation." The ruling parties and the CDP are slated to discuss the issue again on Monday. If they agree, they will amend the bill, aiming to pass it through the Lower House and send it on to the Upper House within the month. Some LDP executives have proposed that Prime Minister Shigeru Ishiba, the president of the LDP, and CDP President Yoshihiko Noda meet to give a final confirmation of the expected agreement, in order to ensure the bill's enactment during the current parliamentary session. Speaking to reporters in Funabashi, Chiba Prefecture, Noda said he wants to have the bill pass the Lower House by next weekend.
