Japan Government Approves Inflation Relief Package
Japanese Prime Minister Kishida Fumio said the government has approved an emergency package to cope with soaring prices as the Ukrainian crisis fuels global inflation.
Kishida said the government must prevent high prices of crude oil and other items such as grains from hampering Japan's recovery from the coronavirus pandemic.
"The government will continue to take preemptive measures, while taking a medium- and long-term perspective," he said.
One of the package's measures aims to cushion the impact of expensive crude oil. The government plans to lower its target for gas prices at the pump to 168 yen per liter, equal to about $1.30, from 172 yen.
The plan will also raise the subsidy cap to oil wholesalers, and calls for covering half of the amount over the current limit if prices rise further.
The government also aims to support households facing financial difficulties with a one-time handout of 50,000 yen, or 390 dollars, per child. The program's beneficiaries will include single-parent families receiving child-rearing allowances.
The package will be funded with more than 11 billion dollars from the reserves of this fiscal year's budget.
The government also plans to compile a supplementary budget worth about 21 billion dollars.