Japan may need to consider compiling another extra budget to help its economy if the current reserve fund is not enough to respond to the coronavirus pandemic, a senior Liberal Democratic Party lawmaker said.

Hakubun Shimomura, the LDP's policy research council chief, said the reserve would likely be enough to cover support for the economy in 2020. A third extra budget could come as early as next year if reserve funds become insufficient.

"If ¥10 trillion of budget reserve is not enough, the government may need to compile a third extra budget," Shimomura said in an interview on Friday.