This year's third supplementary budget, which includes costs for measures against the new coronavirus, was approved by the Budget Committee of the House of Councilors, and was approved by the majority of the LDP and Komeito parties and the Nippon Ishin no Kai. ..

After that, it is expected to be approved at the House of Councilors plenary session.

This year's third supplementary budget includes the cost of implementing measures to prevent the infection of the new coronavirus and economic measures, and the additional expenditure is more than 19,170 billion yen in the general account.



At the House of Councilors Budget Committee, following the 27th, Prime Minister Suga and all ministers attended and asked questions, then a supplementary budget was voted on, and the Liberal Democratic Party, the Komei Party and the Nippon Ishin no Kai It was passed by the majority in favor.



The third supplementary budget is expected to be approved and approved at the House of Councilors plenary session.

Details of the third supplementary budget

This year's third supplementary budget includes an additional expenditure of 19,176.1 billion yen to implement the economic measures summarized in December last year.



▼ The budget for preventing the spread of the new coronavirus is ◇ 1,301.1 billion yen to increase the “emergency comprehensive support grant” to strengthen the system for providing medical care such as securing beds and accommodation facilities, ◇ 1.5 trillion yen to expand the "Temporary Grant for Regional Revitalization" as a financial resource for cooperation funds when each prefecture requests restaurants to shorten business hours or take a leave of absence, ◇ Vaccination system, etc. We have included 573.6 billion yen as the cost for maintenance.



▼ As a budget for realizing economic structural transformation and a virtuous cycle toward post-corona ◇ As a cost to subsidize up to 100 million yen for capital investment made by small and medium-sized enterprises for business transformation 1 1,148.5 billion yen, ◇ 178.8 billion yen for the cost of unifying the system of local governments to promote the digitization of administrative services, ◇ Establish a fund for a “decarbonized society” and take on the challenge of ambitious innovation We have posted 2 trillion yen as expenses to continuously support companies for 10 years, and 1.31.1 billion yen as expenses associated with the extension of Go To Travel.



Furthermore, ▼ As a budget for promoting disaster prevention / mitigation and national resilience, ◇ 2,260.4 billion yen is included as expenses for measures against wind and flood damage and huge earthquakes, and measures for aging infrastructure.

The country's financial situation is even more severe

Due to the deterioration of corporate performance due to the impact of the new coronavirus, the national tax revenue for this fiscal year is expected to be 55,125 billion yen, which is more than 8 trillion yen less than the initial forecast.



The government plans to issue additional deficit-financing bonds in order to secure the necessary financial resources for the third supplementary budget.



As a result, the amount of new JGB issuance this year will be 112,553.9 billion yen, exceeding 100 trillion yen for the first time.



Looking at the overall budget for this year, the worst situation in history, which relies on government bonds for more than 64% of revenues, will make the financial situation of the country where soundness is an issue even more severe.



In light of these financial circumstances, the government has also submitted a bill that allows the use of the surplus of the national general account of the last year and the first year of Reiwa as a special case to finance the third supplementary budget.



Specifically, we will utilize 685.2 billion yen of the surplus of last year as a source of additional expenditure of 19,176.1 billion yen.



The Finance Law stipulates that more than half of the surplus will be used for redemption of government bonds, but the special bill does not apply this provision to the surplus of last year.

The remaining reserve fund is more than 3.8 trillion yen

If the third supplementary budget for this year is approved, the remaining reserve fund for measures against the new coronavirus will be 3,814.4 billion yen.



This year, the government will respond to the new coronavirus by ▼ 1.5 trillion yen in the first supplementary budget and 10 trillion in the second supplementary budget as a reserve fund that can be used without the approval of the Diet. A total of 11.5 trillion yen in reserve funds is recorded.



So far, 24 expenditures, totaling more than 5.8 trillion yen, have been decided.



The main usage is ▼ 915 billion yen to increase the funds for "sustainable benefits" that provide up to 2 million yen to small and medium-sized enterprises whose sales have dropped significantly.



▼ 671.4 billion yen as the cost of purchasing a vaccine from an overseas pharmaceutical company.



▼ 439.1 billion yen to make up for the lack of budget to implement special measures for employment adjustment subsidies.



▼ 311.9 billion yen to increase the funds required for Go To Travel.



▼ The cost of expanding the cooperation fee for restaurants according to the shortening of business hours to a maximum of 1.8 million yen per month is 741.8 billion yen.



And this time, the government has allocated a reserve fund of 1.85 trillion yen to finance the third supplementary budget.



If the budget is approved, the remaining reserve fund for this year will be 3,814.4 billion yen.



The government says that a reserve fund is required to respond flexibly to the spread of infection, and even in the initial budget for the new fiscal year, a reserve fund of 5 trillion yen will be included as a response to the new coronavirus. is.



However, the utilization of reserve funds is just a special measure, and careful explanation of usage and effectiveness is required.



The government will submit a document summarizing the actual results of the contingency funds used this year to the current ordinary session of the Diet and obtain subsequent consent.