The spread of the novel coronavirus has highlighted the weaknesses in Japan's economy and society. The economy must be put on a recovery track by steadily overcoming the crisis.
The government has compiled a draft of the Basic Policy on Economic and Fiscal Management and Reform, known as the "big-boned policy." The draft takes up the subject of balancing measures against infectious diseases with economic activities.
Stimulating demand is essential for economic revitalization. Hopefully an environment will be created in which people can go out and consume without anxiety.
A well-prepared medical supply system will be key to removing anxiety.
During the first wave of the virus' spread, polymerase chain reaction (PCR) tests were not administered immediately even if infection was suspected. The draft calls for strategically expanding testing capabilities, but fails to set concrete numerical targets.
Currently about 30,000 tests are conducted per day, which is fewer than in other developed countries. It is important to increase the number of medical workers involved in the testing and accelerate close cooperation with private companies to provide the tests. It is hoped that a sense of safety will be provided so people can get the tests as needed.
A further obstacle to reducing public anxiety is the delay in implementing budgets.
In supplementary budgets, the government decided to provide cash payments of 100,000 yen per person and establish a system to provide benefits to small and midsize companies to help them sustain their operations, but provision of the money has stagnated. If the benefits are not delivered quickly, people will not actually feel that they are being supported by the government.
Individual bank accounts are not linked to each person's My Number, so the digitization of administrative procedures has been noticeably slower than in other countries.
There was also widespread confusion due to differences between the central and local governments' information systems and operating procedures. Online applications for cash benefits and the exchange of data on people infected with the virus were not smoothly implemented.
It is urgent to solve various problems to dispel anxiety, and connect the results of these efforts to the reconstruction of the economy.
The draft mentions the establishment of a new headquarters for digitization, which will comprise private-sector experts and others, within the government. The headquarters will work on significant reforms to make the My Number system easier to use.
It is natural to promote digitization. A system that people can easily use and feel the benefits of should be established, and confusion should be alleviated among the organizations that implement measures.
The efficiency of society as a whole should be boosted, including a review of practices that require face-to-face meetings and the signing of documents.
Regarding the subcontracting of projects to the private sector, such as a project to provide benefits to small and midsize companies to help them sustain their operations, the process of selecting contractors and the high cost of outsourcing were criticized. If members of the public distrust these projects, it will lower the effectiveness of the government's measures. Ensuring transparency is essential.
Intensifying disasters, such as torrential rains in the Kyushu region, have also heightened public anxiety. The draft states that digital technology should be used to manage crises in times of emergency and speed up recovery works. It is vital to make efforts to strengthen measures to protect people's lives.
-- The original Japanese article appeared in The Yomiuri Shimbun on July 9, 2020.
Read more from The Japan News at https://japannews.yomiuri.co.jp/
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