InfoAnda - Reports: Japan to announce new stimulus package

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Navigation Primary Navigation Home Singapore Asia Pacific World Business Entertainment Sports Technology Secondary Navigation Singapore Asia Pacific World Search Search: Reports: Japan to announce new stimulus package AP - 2 hours 11 minutes ago TOKYO - The Japanese government has agreed on an economic stimulus package with 5 trillion yen ($50 billion) in fresh spending to buoy the country's flagging finances, news reports said Thursday. The package, to be unveiled by Prime Minister Taro Aso later Thursday, will also include tax cuts for homeowners, support for small- and mid-sized businesses, and reductions in highway tolls, major newspapers and broadcasters reported. Aso, who took office in September, is also expected to announce he will postpone dissolving parliament and calling lower house elections, which had been widely expected, to deal with the economic crisis. The Prime Minister's Office refused to comment on the reports, and declined to reveal details of Aso's upcoming speech. Tokyo stocks have hit 26-year lows and the surging Japanese yen is punishing the country's exporters by making their products more expensive in the United States and other markets at a time when the crisis is slashing sales. The new plan comes on the heels of an 11.7 trillion yen supplementary budget approved by parliament. That plan included help for fishermen and farmers to deal with high fuel prices, and assistance for part-time workers to find better jobs. According to the reports, the fresh package will include 2 trillion yen ($20 billion) in fixed-sum benefits to households. The Yomiuri newspaper estimated that would amount to 38,000 yen ($385) payments to each household. In addition, there will be more subsidies for farmers and a cut in payroll deductions for employment insurance. As the global financial crisis began to unfold earlier this year, Japan's economy looked to be in good shape compared to other advanced nations, avoiding major bank failures and bailouts. But the world's second-largest economy, which is largely driven by exports, is sputtering. On Wednesday, the government said industrial output fell for the third straight quarter, with further declines expected in the months ahead. Email Story IM Story Printable View Blog This Recommend this article Average (0 votes) Sign in to recommend this article » Most Recommended Stories » Related Articles: Business Mitsubishi Electric lowers profit forecastAFP - 1 hour 12 minutes ago South Korean stocks rise 11.95 percent, won surgesAP - 1 hour 19 minutes ago Credit crisis delays IPO for Bangladesh's GrameenphoneAFP - 1 hour 22 minutes ago Asian stocks soar on US Fed rate cutAFP - 1 hour 23 minutes ago Hitachi swings to H1 profit but cuts outlookReuters - 1 hour 27 minutes ago Most Popular – Business Viewed When men see red, they see hot: study World's fattest man weds friend's widow Obama set for prime-time appeal to voters Global financial woes hit China's 800 million farmers: state media Desperate pleas end in despair as starlet's nephew found dead View Complete List » Search: Home Singapore Asia Pacific World Business Entertainment Sports Technology

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