Japan’s government loosened the wording around its balanced budget commitment in changes that suggest it is seeking more fiscal flexibility as it tries to shore up the economy’s recovery from the pandemic.
In a draft of its latest annual fiscal policy plan released Tuesday, the government said it’ll continue with its existing goal to seek fiscal health, but removed a direct reference to balancing the nation’s books by the end of fiscal 2025.
"The current target year should not distort macroeconomic policy options for responding to present circumstances,” the draft said.