Govt. Submits Extra Budget For Rescue Package


Govt. submits extra budget for rescue package

The Japanese government has submitted to the Diet a supplementary budget plan aimed at easing the economic impact of the coronavirus outbreak.

The government on Monday submitted the bill worth more than 230 billion dollars for the fiscal year that began on April 1. It will partly fund an emergency economic package worth 1.1 trillion dollars.

The government will offer cash handouts of about 930 dollars to every person in the country.

It made the decision after dropping an earlier plan to provide triple that amount to households whose incomes have fallen sharply due to the pandemic.

Among other policies in the emergency package are subsidies of up to 18,600 dollars to small- and medium-sized companies whose revenues have dropped due to the outbreak.

The government plans to help small businesses take out interest-free loans from private financial institutions.

The emergency package also includes a plan to bolster healthcare systems to stop the virus from spreading and to support the development of drugs to treat COVID-19.

To stimulate consumer spending once the outbreak subsides, the government will subsidize travel and dining costs.

The government's plan will require it to issue deficit-covering bonds to help fund the spending. The bill is expected to pass the Diet on Thursday.