With the economy relatively steady, Japan is ready for debate on tax increases and government program cuts to put the nation's finances in order, according to Finance Minister Sadakazu Tanigaki.

"I think of myself as the sandbag," Tanigaki said, indicating his willingness to take hits for politically unpopular moves.

The economic environment is different from 1997, when the government decided to raise the consumption tax to 5 percent from 3 percent, and so shouldered the blame for throwing cold water on the economy, he said.