KYOTO (Kyodo) Prime Minister Naoto Kan said Saturday he plans to set up a special team to help promote job creation for young people including students graduating from university.

The special team will be headed by Democratic Party of Japan lawmaker Manabu Terata, who serves as an aide to Kan, the prime minister told reporters in Kyoto.

The team is expected to compile short-term job creation measures as well as medium- and long-term employment support plans as new graduates are facing difficulties in finding employment opportunities, government officials said.

Kan made the remarks after visiting the Kyoto Job Park, a job placement support organization which is operated by the Kyoto Prefectural Government in cooperation with the business community and "Hello Work" public job-placement offices.

The government has started preparations for its new round of emergency steps to address slowing economic growth and the yen's recent surge in the currency market.