To ease inflation, she plans to abolish the gasoline tax, raise the nontaxable income threshold to 1.6 million yen, and combine deductions with cash benefits
TOKYO
Japan’s new Prime Minister Sanae Takaichi on Friday announced plans to deepen multilateral dialogue with India and other regional partners, including South Korea, the Philippines, and Australia. She emphasized her government’s goal of promoting a “free and open Indo-Pacific,” amid growing Chinese military activity in the region.
In her first policy address to Japan’s Parliament, Takaichi described the alliance with the United States as the “cornerstone” of Japan’s foreign and security policy. However, she noted that China remains an “important neighbor” with which Japan seeks a “constructive and stable” relationship based on mutual benefit and strategic balance.
Takaichi pledged to raise Japan’s defense spending to 2 percent of GDP by March, two years ahead of schedule, and to revise the nation’s key defense documents by next year to meet new security challenges. She also promised to pursue bold economic reforms, calling rising living costs a “top priority.”
To ease inflation, she announced plans to abolish the long-standing gasoline tax rate and increase the nontaxable income threshold from 1.03 million yen to 1.6 million yen. Her administration also plans to design a new system combining income tax deductions with direct cash benefits for households.
Takaichi, Japan’s first woman Prime Minister, vowed to “turn people’s anxieties into hope” through strong fiscal and defense policies. Indian Prime Minister Narendra Modi congratulated Takaichi on her election, expressing hope for closer India-Japan cooperation to ensure peace and prosperity across the Indo-Pacific region
