Tokyo, September 05: Nearly 70 per cent of fund resources under the fiscal 2009 extra budget, being targeted by the Democratic Party of Japan (DPJ) to finance some of its key policies, have already been implemented, government officials has said.
The DPJ is hoping to squeeze money to realize its election pledges by modifying the 14 trillion yen supplementary budget, crafted earlier this year by Prime Minister Taro Aso’s administration, once it forms a government in mid-September.
Under the budget, 4.36 trillion yen was allocated to 46 funds to carry out a range of stimulus measures and projects that DPJ believes involve too much wasteful spending.
Of that sum, the government has already executed about 2.65 trillion yen, according to Kyodo News findings based on hearings from ministry officials.
Given this situation, it may become increasingly difficult for the DPJ to raise enough money from the extra budget to fund its key social welfare programs.
DPJ policy chief Masayuki Naoshima told reporters yesterday that he will hold a meeting early next week with Yasutake Tango, the top bureaucrat at the Finance Ministry, to receive detailed information on budgetary matters.
The DPJ is hoping to raise at least 3 trillion yen from the extra budget for the year through March 31.
At a news conference yesterday, outgoing Finance Minister Kaoru Yosano said the DPJ must deal with the budget carefully as many local governments had already factored in the funds to design their administrative services.
–Agencies