Following the establishment of the new fiscal year budget, Prime Minister Kishida held a press conference on the night of the 28th and stated that by steadily implementing the included economic policies, we will definitely achieve income that exceeds the rise in prices this year. I emphasized my promise.
At the outset, Prime Minister Kishida explained that the new fiscal year's budget includes many measures to address rising prices and raise wages, and stated that ``we will implement important measures at full speed, including earthquake response measures.'' Ta.
Concerning the current economic situation, he said, ``There is a strong trend of wage increases in the spring labor union, the highest level of capital investment in history, and a series of large-scale strategic investments from overseas.However, the road to overcoming deflation is still only halfway through. "We are at a critical moment, a once-in-a-decade event."
He also mentioned that one of the measures to overcome this critical moment would be to reduce income taxes from June this year, saying, ``The public and private sectors will work together to establish a positive mindset throughout society that ``wage increases are a given.'' I'm going," he appealed.
On top of that, it is important to support small and medium-sized enterprises (SMEs), which are said to account for 70% of workers, to strengthen their "wage increases and earning power," and promote the creation of an environment where "labor costs," which correspond to personnel costs, can be appropriately passed on to prices. The government announced its policy to do everything possible, including providing tax support to support wage increases, including for companies that are in the red.
In addition, in order to restore Japan's earning power, it is necessary to change the current situation in which tens of trillions of yen is flowing overseas through energy imports, and plans to revise the Basic Energy Plan by the end of the new fiscal year. We have made it clear that we intend to accelerate discussions towards this goal.
On the other hand, regarding the recent change in monetary policy, he stated that the government and the Bank of Japan will continue to maintain close cooperation.
Finally, he concluded, ``I would like to clearly make two promises to the people of overcoming price increases: ``This year, we will definitely achieve incomes that exceed the rise in prices,'' and ``From next year onwards, we will definitely make sure that wage increases that exceed the rise in prices become entrenched.'' I emphasized.