The government launched a panel of experts Saturday to support Prime Minister Naoto Kan's efforts to strengthen the social security system, an initiative that could be followed by a tax hike to cover its revenue shortfalls.
Kan, who chairs the new panel, has said he will seek comprehensive reforms as he tries to make the welfare system more sustainable at a time when the population is aging and annual new debt issuance is surpassing its tax revenues.
"Politicians have a great responsibility," Kan said at the inaugural meeting of the panel, pointing out that all similar attempts at reform by previous governments have failed.