Economic ministers in the newly formed Cabinet of Junichiro Koizumi said Thursday that they will try hard to pull the nation out of its long economic downturn and help accelerate the disposal of banks' bad loans.

Finance Minister Masajuro Shiokawa said he will pursue the dual goals of achieving a self-sustaining economic recovery and preparing for the reform of debt-ridden public finances.

Shiokawa, 79, a political veteran with little experience in fiscal policy, said the new administration's structural reform policies will not drive the economy into a contraction.