Before initiating any hike in the 5 percent consumption tax, the ruling bloc must clearly articulate to voters what policies it will pursue and its priorities in line with a higher levy, new Finance Minister Bunmei Ibuki said Monday.
Speculation is rife that Friday's appointment of Ibuki and Kaoru Yosano as economic and fiscal policy minister means Prime Minister Yasuo Fukuda wants to raise the consumption tax to cover ballooning social security costs. Both new ministers are considered advocates of a higher consumption tax.
"Before we ask voters to make a judgment, we need to show them what kind of public services will be offered and what financial resources will be used," Ibuki said in a joint interview.