The government is considering a Y50,000 ($390) cash handout program to help low-income households with children as part of its broader economic package to cushion the blow from rising prices, sources with knowledge of the plan said Wednesday.

The envisaged program will provide Y50,000 for a child aged 18 or younger from a single-parent family or a household that has been exempt from residential taxes due to low income, according to the sources. Around ¥200 billion will be funneled from reserve funds in the state budget for the current business year from April.

Separately, the government is also weighing expanding the already implemented Y100,000 cash handout program for struggling households, the sources said.

The Y100,000 handouts are currently disbursed to households that were exempt from residential tax payments during fiscal 2021. The government is considering also giving Y100,000 to those who were not eligible for the relief program but fit its targeting criteria after the end of fiscal 2021 on March 31, the sources said.

Prime Minister Fumio Kishida is expected to unveil details of the economic package possibly next week amid growing concern about the negative impact of rising energy and food prices on households at a time of an anemic economic recovery from the COVID-19 pandemic.

The envisaged plans could be taken by critics and opposition lawmakers as a cash splurge ahead of the House of Councillors election, expected in July.

Source: ANNnewsCH