Japan's fiscal blueprint draft to call for fiscal reform - Nippon TV (updated)

Nippon Television Holdings

04/06/2021 03:55

(Adds details from TV report, background on Japan's fiscal
state)
    TOKYO, June 4 (Reuters) - Japan's government will aim to
achieve its fiscal target bearing in mind the sharp rise in
spending to combat the COVID-19 pandemic, Nippon TV reported on
Friday.
    "Japan must lay the groundwork for fiscal reform before its
baby boomers reach 75 or older," a draft of a fiscal blueprint
obtained by Nippon TV showed.
    The government will present the fiscal blueprint for
approval by the cabinet on June 9, Nippon TV said.
    Huge government spending to cushion the economic blow from
the pandemic has strained Japan's already tattered finances by
adding to its massive debt pile, which is the biggest among
major industrialised nations.
    Japan's baby boomers reach 75 around 2025, leaving the
country little time to get its fiscal house in order before
social welfare costs balloon from already large levels.

 (Reporting by Leika Kihara
Editing by Chang-Ran Kim & Shri Navaratnam)
 ((leika.kihara@thomsonreuters.com; +813-6441-1828; Reuters
Messaging: leika.kihara.reuters.com@reuters.net))