Get all your news in one place.
100’s of premium titles.
One app.
Start reading
The Japan News/Yomiuri
The Japan News/Yomiuri
Politics
The Yomiuri Shimbun

FY2021 budget requests top record-high 105 trillion yen

(Credit: The Yomiuri Shimbun)

Fiscal 2021 general-account budget requests from central government ministries and agencies have topped 105 trillion yen, a record-high figure likely to swell even further due to costs involved in combatting the novel coronavirus pandemic, The Yomiuri Shimbun has learned.

The initial budget for fiscal 2020 was a record-high 102.66 trillion yen. However, the fiscal 2021 draft budget scheduled to be compiled in December is highly likely to eclipse this figure. This is because many items listed in the budget requests did not earmark a specific amount, as it remains unclear when coronavirus infections will be contained.

Budget requests have totaled more than 100 trillion yen for seven consecutive years. The Health, Labor and Welfare Ministry made the largest request -- 32.99 trillion yen -- including 30.86 trillion yen for public pension and medical expenses and 1.3 billion yen to help newly graduated students and others find employment. The 15.1 billion yen requested for fertility treatment subsidies reflected an instruction by Prime Minister Yoshihide Suga to boost such funding.

The Cabinet Secretariat requested 82.9 billion yen, up by about 20% from the fiscal 2020 initial budget, to connect information systems among central government ministries and agencies, a move in line with Suga's pet project of digitizing government administrative operations. The Internal Affairs and Communications Ministry also requested 3.88 billion yen for projects including shifting more local government administrative procedures online, and measures to ensure they operate securely. This is more than five times the amount set aside in fiscal 2020's initial budget.

A striking number of ministries sought funding related to teleworking, which has been encouraged to alleviate overcentralization in Tokyo. In addition to efforts by the labor and internal affairs ministries, the Cabinet Office requested 15.0 billion yen for a new "telework subsidy" aimed at local governments.

Suga also is determined to boost the competitiveness of small and midsize companies, so the Economy, Trade and Industry Ministry requested 51.7 billion yen -- about 40% more than in the fiscal 2020 initial budget -- to help new small and midsize businesses get up and running.

This year's budget requests also contained many items without a precise sum calculated in advance. The health ministry did not provide figures for some policies related to the coronavirus, such as employment measures, the development and reliable supply of vaccines and medical treatment, beefing up testing systems and ensuring the medical care system can withstand the additional workload. However, the ministry said these measures would require "several trillion yen."

The Land, Infrastructure, Transport and Tourism Ministry sought money to support the tourism industry and public transport operators battered by the decline in users and travelers due to the coronavirus outbreak. The Education, Culture, Sports, Science and Technology Ministry requested funding to better enable elementary and junior high schools to teach students in smaller numbers, which also would help stop infections from spreading.

The usual deadline for making budget requests to the Finance Ministry was pushed back by one month to Sept. 30 as the government gave priority to handling the coronavirus response. Request rules also were simplified, and funds identical to that provided in fiscal 2020 were permitted for existing projects. Ministries and agencies also could request desired budget amounts to cover costs needed for dealing with the coronavirus.

--Defense Ministry seeks record 5.49 trillion yen.

The Defense Ministry announced Wednesday that it had requested a record-high 5.49 trillion yen in the fiscal 2021 budget, logging the eighth straight annual increase and a figure 3.3% higher than the amount set aside in the fiscal 2020 initial budget.

The ministry is expanding its capability to counter threats in new domains such as space, cyberspace and electromagnetic operations.

In addition to booking 200 million yen for research costs related to launching a network of small, low-orbit satellites that will detect and track hypersonic gliding weapons that Russia and China are developing for deployment, the ministry will transfer personnel from cyber-related units in the three Self-Defense Forces branches and form a new SDF cyberdefense unit responsible for overseeing operations in this field.

Read more from The Japan News at https://japannews.yomiuri.co.jp/

Sign up to read this article
Read news from 100’s of titles, curated specifically for you.
Already a member? Sign in here
Related Stories
Top stories on inkl right now
One subscription that gives you access to news from hundreds of sites
Already a member? Sign in here
Our Picks
Fourteen days free
Download the app
One app. One membership.
100+ trusted global sources.