The government hopes to trim public-works spending by at least 3 percent in the fiscal 2006 budget, the same modest cost cuts made for this fiscal year, according to budget compilation guidelines submitted Wednesday to Prime Minister Junichiro Koizumi.
The negotiations with the ruling coalition over the next budget are currently on hold due to political wrangling over the postal privatization issue, which led to the Monday dissolution of the House of Representatives and the announcement of a Sept. 11 general election.
According to the budget guidelines, it wants to cut public works expenditures in fiscal 2006 by demanding efficiency and strategic planning.
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