The government's Council on Economic and Fiscal Policy on Friday finalized a basic economic reform policy that features such revitalization and tax reform measures as corporate tax cuts and consolidation of government expenditures in the fiscal 2003 budget.

The reform blueprint, which is expected to be approved by the Cabinet on Tuesday, constitutes the second phase of Prime Minister Junichiro Koizumi's "big-boned" structural reform agenda. The first outline last year did not specify what steps should be taken in these areas.

The reform agenda proposed Friday by the policy-setting panel combines two separate packages — for economic revitalization and tax reform — that the panel adopted earlier.