J Update

Encouraged by the policy for active investment by Prime Minister Sanae Takaichi, the ministries are making active request for FY2027 budget. It is likely that the total amount of all the requests   will exceed  130 trillion yen for the first time. As Takaichi removed limit of budget request from each ministry, a great question remains: How the government can find the resource for the requests.   Every ministry makes budget request to the Ministry of Finance (MOF) by the end of August every year. The MOF examines details of the request through the fall and formulate a budget draft in December. The budget plan made by the MOF is submitted to ordinary session of the Diet, which is ordinarily convoked in January, and the budget bill is discussed in both chambers of the Diet. The leading parties make effort to pass the bill by the end of March, because new fiscal year starts in April.   The total amount of request in 2025 was 122 trillion yen, marking the record high. But...

Newspapers  reported  that Prime Minister Sanae Takaichi has made up her mind to reshuffle her cabinet and board members of the Liberal Democratic Party (LDP) in mid- or late September. Although her cabinet has not cerebrated one year anniversary, Takaishi seems to have decided it to reinforce her administration by inviting a minister from LDP’s coalition partner, Japan Innovation Party (JIP). She hopes to build a basis to reelection in LDP presidential election in the fall 2027.   Takaichi Cabinet made a decision in early August to introduce 1 percent of new consumption tax rate for foods in April 2027. The government is preparing a bill for the tax cut, which will be discussed in the extraordinary session of the Diet, which is expected to be convoked as early as late September. Takaichi hopes to reshuffle her cabinet and LDP board to deal with important issues such as consumption tax cut.   The obvious purpose of her reshuffling is to invite JIP to her Cabinet. Whe...

Russia keeps on pressuring Sanae Takaichi administration of Japan. Following a rare visit to an island of Northern Territory of Japan by the president, Russian military made an exercise of launching missiles from the island. It is possible that Russia is examining how Takaichi responds to the provocations. Takaichi has been made no intensive countermeasure toward Russia.   Russian President, Vladimir Putin, made his first visit to Etorofu, the biggest island in Japan’s Northern Territory, on August 13 th . The timing must have carefully been considered. August is the season for the Japanese to remember devastation of the World War II, especially on 6 th  of atomic bombing on Hiroshima, 9 th  of another on Nagasaki and 15 th of unconditional surrender. Putin’s visit had an impact to impress Japan that the island was included in Russia as a result of the war.   Takaichi firmly protested Putin’s visit to Etorofu. “It hurts the public sentiment of the Japanese people and...

The United States Secretary of State, Marco Rubio, issued a   statement  which announced sanctions on two officials of the International Criminal Court (ICC), including its president Tomoko Akane from Japan. Rubio referred to dismantlement of the ICC, if necessary, urging member countries to leave the court. Prime Minister of Japan, Sanae Takaichi, expressed regret on the U.S. decision without any criticism.   In his statement, Rubio accused the ICC of its abuse of power against U.S. interest. “The ICC has repeatedly attempted to assert authority over nationals of the United States and other countries that have not consented to its jurisdiction or ratified the Rome Statute,” Rubio said in the statement. It explaines that the sanctions are based on an executive order of President Donald Trump in February 2025, which imposed sanctions on the ICC.   The ICC has been taking tough stance against Israeli Prime Minister Benjamin Netanyahu, issuing an arrest warrant for him ...

The Cabinet Office   released   Japan’s GDP in the second quarter of 2026, which showed 0.3 percent of growth from the previous quarter and 1.1 percent of annual growth. Although it marked consecutive growth for three quarters, domestic demand slowed down with decline of individual consumption. It is uncertain whether Japan can maintain the growth in the next quarter.   Individual consumption, which occupies about a half of GDP, marked minus 0.02 percent, the first decline in these eight quarters. Consumption of tobacco declined with price increase in April. Payment of high school tuition dropped with promotion of subsidy. Lodging and dining also declined. It is possible that the war in Iran gave negative psychological impact on consumers.   On the other hand, cars and air conditioners contributed to the growth. Abolition of car tax dependent on its environmental capability dropped car price, encouraging purchases. Regulation on energy saving for air conditioners, wh...

An elite public prosecutor affiliated with Special Investigation Division (SID) of Tokyo District Public Prosecutors Office   resigned  with disciplinary dismissal from his office. He had sexual relationship with a woman who was a suspect in a case which he had been in charge of. This is one of the extraordinarily many examples of public prosecutors, who are supposed to exercise social justices.   Masahito Nishida has been known as the captain of SID investigation team on the slush fund scandal in 2023 in the Liberal Democratic Party (LDP) in which party leaders with former Abe faction had received kickback fund on fundraising parties. Nishida was indicted with a charge of having inappropriate sexual relationship with a female suspect in a criminal case. He maintained that relationship with the woman for two years since 2024. The trial on Nishida is ongoing.   He spent nights with her in a hotel room which was reserved for investigation of other criminal cases and re...

The Ministry of Internal Affairs and Communications released in late July the   Vital Statistics   based on Basic Residence Registration as of January 1 st , 2026. While the number of Japanese citizens keeps on declining, foreign residents in Japan are increasing. Demographic concentration to urban areas does not stop. Prevention of highly aged society has not shown any major improvement. Policies on population delivered by the government of Japan has not made obvious progress.   The population of Japan on the first day of this year was 123,767,642, which declined by 563,048 or 0.48 percent from the previous year. Japanese residents among them were 119,736,483, which occupied 96.74 percent of all, showing decline of 916,744 or 0.76 percent, while foreign residents, 3.26 percent of all, increased by 353,696 or 9.62 percent to 4,031,159. As the number of Japanese citizens declines, foreign residents in Japan are significantly increasing.   Since the survey started in 1...

The Sanae Takaichi government held a   memorial ceremony   for war victims at Nippon Budokan on August 15 th . The prime minister refused to succeed her predecessor’s view on history of Japan by not using “introspection” or “pledge of no war” in her statement to the ceremony. She instead gave a prayer to Yasukuni Shrine from Budokan and some of her ministers made visit to the shrine, inviting firm opposition of neighbor countries.   The government of Japan keeps on holding the ceremony with request of the families of war victims every year since 1952. The emperor and political leaders headed by the prime minister have been participating in it. The families who attended the ceremony this year amounted to 3,112. “Never let devastation of war again. I will succeed this determination beyond generations,” said Takaichi in her speech to the ceremony.   The news of prime minister’s speech this year was returning to revisionist stance on post-war history. Former prime minist...

“If you want to take the seat, you need to pay 5 million yen.” It could have been an ordinary deal in the Fukuoka Prefectural Assembly. One member of the assembly revealed that he had paid 20 million yen to be the chairman. Although the heavyweights in the assembly denied that story, the accuser called it the system of blackmailing. Close relationship between politics and secret money is seen in local politics in Japan.   A member of Fukuoka Prefectural Assembly, Motoaki Yoshimatsu, who was the chairman of the assembly between June 2020 and May 2021,  confessed  that he paid 20 million yen to be the chairman. The money was for playing fee of golf with assembly members or cost for dining in luxurious Japanese food restaurant. Yoshimatsu borrowed money to pay for that.   Although he was affiliated with a small group in the assembly, Yoshimatsu could make his chairmanship with approval of other members. There must be a fixer behind that. Yoshimatsu was asked by a senior...

Russian President Vladimir Putin   made   his first visit to one of the islands that Japan claims to be its Northern Territory, Etorofu Island, on August 14 th . Putin is supposed to have demonstrated his position that Russia would not make any compromise in discussion with Japan over the islands, which has been suspended since Russia’s aggression in Ukraine in 2022. Japan protested Putin’s abrupt visit to “Japan’s inherited territory.” It surely exacerbates bilateral relations between Japan and Russia. Putin’s visit to Etorofu made the second example for Russian president to visit Japan’s Northern Territory. When former president Dmitry Medvedev visited Kunashiri Island in 2010, then prime minister of Japan Naoto Kan labeled the visit as “intolerably rough action.” As Russia kept on asserting that the islands of Northern Territory should be maintained as territory of Russia, the bilateral relationship was deteriorated.   It is obvious that Putin’s visit this time has the...

The Liberal Democratic Party (LDP)   proposed  Sanae Takaichi government to introduce stronger interception of foreign information, which affects security of Japan. While the government can collect information only for criminal investigation, this interception will be applied all kinds of information. This action is likely to face fundamental criticism on violation of freedom of communication. Concerning consecutive organized crimes in Japan, the government enforced the  Act on Communications Interception for Criminal Investigation  in 2020. Under the law, organizations of law enforcement, such as police, can wiretap telephone talk, exchange of documents through fax and emails. The interception on the law requires a warrant issued by the court.   The proposal by the LDP is to expand the interception to communication for all the kinds of purpose, as long as it is related to security of Japan. The interception targets malicious activities by foreigners against Jap...

The Centrist Reform Alliance is still struggling for integration. While the party issued a   policy package  for their future administration in July, they are still away from integration with Constitutional Democratic Party of Japan (CDPJ) and Komeito. It should be one of the consequences of a hasted merge of parties for an election. They hope to conclude on building up the party by the end of August.   The CRA was established in January by members with CDPJ and Komeito in the Lower House to cooperate with each other in the snap election declared by Prime Minister Sanae Takaichi. The CRA experienced a significant defeat in the election, facing criticisms from voters on their attempt of maneuver for election. After the election, the members with CDPJ and Komeito in the Upper House hesitated joining the CRA.   One of the difficulties for their integration is difference in policies. While the CDPJ still finds some unconstitutionality in 2015 security legislation, which ...

While coalition partner of the Liberal Democratic Party (LDP), Japan Innovation Party (JIP), insists on reduction of Diet seats, the parties discuss reform of election system. The chairman of multi-partisan conference for election system in the House of Representatives, Keisuke Suzuki (LDP),   offered  a draft of new system that laid out stricter standard for resurrection in proportional district. Some measures to conciliate opposition parties are also included in the draft. Lower House election has two districts. One is single-seat districts amounting to 289 allocated to all over Japan. Another is proportional district with 176 seats, which is distributed to parties depending on the votes they obtained. Most candidates are nominated in both districts. Even if one candidate loses in single-seat district, he or she can get a seat in proportional district. How the candidate was close to the winner in the single-seat district determines who will win the seat in proportional distr...

Nagasaki had the 81 st   anniversary from devastation of an atomic bomb on August 9 th . In his   Peace Declaration , the Mayor of Nagasaki City, Shiro Suzuki, demanded the world without nuclear weapons, calling that cursed weapon “absolute evil.” Prime Minister, Sanae Takaichi, did not speak her determination for elimination of nuclear weapons, as she didn’t in Hiroshima three days ago. The prime minister of Japan does not represent sentiment of the people still suffering from devastation of nuclear war.   In the memorial ceremony in Nagasaki, Suzuki introduced an episode of hibakusha, Katsuji Yoshida, who experienced atomic bombing at the age of thirteen. The boy witnessed burnt black man, popped out eyeballs, extracted guts and people without limbs. Many people died after drinking oil, blood and contaminated water flowing Urakami River. Yoshida survived with his burnt body, annoyed with discrimination and fear of cancer.   “Nuclear weapon is not necessary evil, bu...

The Diet   passed  the bills for stricter regulation against false information through social networking services (SNS), which would be distributed in election campaigns for public offices. It has been discussed that untrue information distorted result of elections. New legislature mandates providers of SNS to take necessary measures to maintain fair election. However, the laws do not have any provision of penalty, inviting skepticisms on its effectiveness.   In the  gubernatorial election of Hyogo  in 2024, a lot of information which truthfulness was not identified appeared on SNS sites. Backed by that kind of information, the incumbent governor, Motohiko Saito, who were in the scandal of harassment on his staffs, was reelected. The election ignited discussion over necessity of stricter regulation on using SNS in elections.   In the election of governor of Miyagi in 2025, false information against incumbent governor was distributed. It  indicated that...

The government of Japan   is expected  to buy back the rice for national reserve which was released in 2025. Although it released a great amount of rice reserve for reducing rice price, that measure caused large amount of rice stock in the market. The private rice stock marked a record high, putting downward pressure on rice price. Ministry of Agriculture, Forestry and Fisheries (MAFF) will make a final decision on the buyback late August, considering estimation of rice harvest of this year. Caused by poor harvest in the previous year and increasing consumption, the price of rice rose to an extreme level in 2025. Rice is the staple food for consumers in Japanese. The government of Japan decided to release governmental stock of rice to stabilize rice price. It was highly unusual for the government to release its rice stock not for maintenance of supply in natural disaster, but for controlling the price.   The government has been maintaining around 1 million metric tons of ...

On August 6 th , Hiroshima memorized 81 st  anniversary of devastation brought by an atomic bombing in 1945. While local leaders accused current threatening and illegal activities of major nuclear powers in the world, Prime Minister Sanae Takaichi did not directly pledge maintenance of three non-nuclear principles for the future. Hibakushas in Hiroshima found Takaichi’s weakness as the leader of only one country in the world that suffered from nuclear war.   Mayor of Hiroshima delivers a declaration in peace memorial ceremony on August 6 th  every year. In  2026 Peace Declaration , Mayor Kazumi Matsui referred to “military invasion using nuclear weapons as tools of intimidation as well as other imperious actions by major powers in violation of international law.” It was obvious that Matsui implied Russia’s invasion in Ukraine and military operation in Venezuela, or possibly in Iran, by the United States. He regretted that the review conference of Nuclear Non-prolifer...