The government gave mixed signals Tuesday following a press report that some Liberal Democratic Party members advocate redenominating the yen to enhance the currency's international status.
Finance Minister Kiichi Miyazawa denied the Nihon Keizai Shimbun report that the ruling coalition is considering redenominating the yen as one step in an emergency economic stimulus package to be released this week.
But Chief Cabinet Secretary Yasuo Fukuda did not rule out the step as an economic stimulus measure, saying ruling coalition discussions on redenomination will be followed if the government decides to consider the measure.
"(Redenomination) has been studied on and off over a long period of time," the top government spokesman said. "Basically, I don't think (redenomination) is a bad idea at all. It is an issue that should be decided on comprehensively. If the three ruling parties are to study it, we will observe discussions."
As for the yen's recent weakness, Miyazawa reiterated that he is closely watching moves on the foreign exchange market.
Miyazawa plans to push bills related to the fiscal 2001 budget now that the ruling bloc rejected a no-confidence motion submitted Monday against Prime Minister Yoshiro Mori's Cabinet.
Asked whether the government will front-load implementation of the fiscal 2001 budget, he said he will make efforts to ensure its early passage thorough the Diet.
He added the budget will be introduced speedily once it is enacted but declined to comment on the possibility of coming up with an extra budget for fiscal 2001, which starts April 1.