A proposed second supplementary budget of 2.5 trillion yen for fiscal 2001 includes 656 billion yen for environmental protection and 628 billion yen for urban redevelopment, government officials said.
Projects to protect the environment include the conversion of concrete shore-protection walls to mud flats, while private-sector funds will be used to fund the repaving of streets as part of urban redevelopment, they said Thursday. Other appropriations include 872 billion yen to promote science and technology, information technology and human resource development, and 344 billion yen to cope with the rapidly aging population and the falling birthrate.
The government is working out the budget to finance an emergency program aimed at preventing the economy from falling into a deflationary spiral by implementing public-works projects expected to promptly stimulate economic activity.
The Cabinet of Prime Minister Junichiro Koizumi will seek approval from the Diet in January.
Under the extra budgets, projects worth 4 trillion yen will be carried out, including 1.5 trillion yen worth of local government projects.