The government and political parties have started work in earnest to eliminate wasteful administrative expenses. The work is necessary in view of the nation's financial straits. Cost-cutting competition between the ruling and opposition camps would be welcome.
The government has inaugurated a 10-member advisory body for "thorough checks of administrative expenses." It includes businessmen, scholars and local government leaders. The group's public report, scheduled for release in early December, is to be reflected in the fiscal 2009 budget.
One area where wastefulness has been identified is the nonprofit foundations for which the government spends some ¥960 billion a year. Government ministries and agencies place orders for various kinds of work to these organizations. Some of this work is said to be unnecessary and some foundations use subcontractors through no-bid contracts, which tend to push up the cost. Prime Minister Yasuo Fukuda hopes to reduce government spending for nonprofit foundations by 30 percent.