Prime Minister Junichiro Koizumi on Monday declared that his administration is determined to initiate the hard-hitting structural reforms needed for Japan's "resurrection and development."
To ensure the continuity of business-stimulating measures launched by the preceding coalition government, Mr. Koizumi promised prompt implementation of the demand-creating programs adopted by the government of former Prime Minister Yoshiro Mori.
At the same time, however, he intends to shift the priority in the government's economic policy from the business stimulation dependent on fiscal spending to measures designed to solve the bad-loan problem and promote structural reforms. This will mark a clear departure from the Liberal Democratic Party's traditional national economic management, which has relied on deficit fiscal spending and often focused on immediate measures such as shoring up stock prices.