Japanese Chemical Trader blog

Japan Chemical Trading Blog

Record-High Budget Request at More Than 100 trillion Japanese Yen

A Nikkei Newspaper article dated August 29 says, “Japan’s government ministries are set to demand 101 trillion Japanese yen (about 1 trillion US doller), which is the highest in history, for the 2015 fiscal budget”.

I think this is ridiculous. With the national debt exceeding 1,000 trillion Japanese yen (about 10 trillion US doller) and still increasing, the passage of such a mega-budget will cause the risk of hyperinflation.
It is hard to imagine that a budget of 100 trillion Japanese yen is being planned while annual government revenue is only about half that amount.
Anything that is not covered by the annual government revenue will depend on a debt that will become a burden on future generations.

This tells us very clearly what politicians and bureaucrats are thinking of future generations.
The expenditure should be reduced as much as possible and issuance of deficit-covering bonds should be as limited as possible.

Masa