Dec 16, 2020 (Kyodo) - Japan's Cabinet approved a 21.84 trillion yen ($210 billion) extra budget on Tuesday, bringing its total spending for fiscal 2020 to a record high of 175.69 trillion yen, as it grapples to ensure the coronavirus-stricken economy stays on a recovery track.
The third supplementary budget for the financial year through March, earmarking 19.18 trillion yen to finance additional economic measures, entails new government bond issuance worth 22.40 trillion yen.
As a result, Japan's total new debt issuance for the year is set to also hit an all-time high of over 112.55 trillion yen, more than double the previous record of 51.95 trillion yen marked in fiscal 2009 following the global financial crisis.
Together with the two extra budgets, the formulation of the third supplementary budget will increase Japan's total annual spending by more than 70 percent from the initial budget of 102.66 trillion yen, fueling concern over a further deterioration in its fiscal health, the worst among major developed nations.
Source: ANNnewsCH
