Prime Minister Junichiro Koizumi said Tuesday he is considering compiling a second supplementary budget for this fiscal year, indicating the government has started discussions on its size and contents.
The budget "is being considered," Koizumi said at his official residence when asked by reporters if he felt positive about the issue. Another supplementary budget could force Koizumi to break his 30 trillion yen cap on fresh government bond issues -- the government's usual source of financing for economic stimulus.
Finance Minister Masajuro Shiokawa told a news conference that a second extra budget could be compiled but repeated his view that no new government bonds should be issued. He said a new extra budget should include economic reform steps.