Prime Minister Shinzo Abe's reforms may be aided by excluding the agriculture, trade and welfare ministries from oversight of special economic zones, according to the head of a working group on the plans.
"Abe sees the strategic special zones as the heart of regulatory reforms," Tatsuo Hatta, 70, said in Tokyo Saturday, adding the prime minister is aware that the public is "fed up" over the sway that vested interests have had over policy.
Investors are trying to assess the strength of Abe's commitment to the so-called third arrow of "Abenomics," deregulation and economic reforms intended to sustain growth after the initial jolt from monetary and fiscal stimulus wears off. The zones would be areas where the government can experiment with reforms in the labor market, health care and agriculture as Abe tries to end 15 years of deflation.