The government and the ruling Liberal Democratic Party are making final adjustments to extend the current Diet session by a maximum of three weeks beyond the scheduled June 17 end, government and LDP sources said Wednesday.

The government and the LDP had previously dropped the idea of submitting bills to increase industrial competitiveness in the current session so as to avoid a considerably long extension.

However, they have now found it necessary to pass other key bills before Prime Minister Keizo Obuchi departs for China on July 8, the sources said. The LDP is hoping a set of bills, designed to reorganize central government agencies and promote decentralization, is passed within the current session. The ruling and opposition blocs, however, are still at odds over how to deliberate the government reorganization bills, the sources said.

And even if they manage to begin full-scale deliberations, problems are expected as the the Democratic Party of Japan remains adamant that the proposed separation of fiscal and financial authorities is insufficient. Other bills the LDP hopes to pass within the current session include one to recognize the Hinomaru as Japan's official flag and "Kimigayo" as the national anthem.