Politics · Japan · 2 hrs ago
Japan minister says Sanaenomics is not a return to reflation
Japan’s economic minister, Minoru Kiuchi, says the government’s current policy is not a return to reflation.
Reflation policies use monetary easing and flexible government spending to lift economic activity and prices.
Prime Minister Sanae Takaichi has described her approach as “responsible proactive fiscal policy.”
The government’s plan, called Sanaenomics, aims to support more than 370 trillion yen in public and private investment by fiscal 2040.
Kiuchi says governments around the world are working with businesses on large, long-term strategic investment, including for economic security.
He and Takaichi see this approach as a last chance to make up for Japan’s “lost 20 years.”
Kiuchi says the next task is to put the government’s economic plans into action.
Japan’s economic and fiscal policy minister, Minoru Kiuchi, says the Takaichi government’s policies are not a return to reflation.
Kiuchi said the government aims to increase household take-home income and improve living standards while maintaining fiscal sustainability.
The “Sanaenomics” agenda calls for more than 370 trillion yen in public and private investment by fiscal 2040.
Kiuchi said the government plans to work with businesses on large-scale, long-term strategic investment.
He described the government’s approach as “responsible proactive fiscal policy.”
- Who
- Minoru Kiuchi, Japan’s minister in charge of economic and fiscal policy.
- What
- Kiuchi said the government’s policies do not amount to reflation and described the aims of Sanaenomics.
- When
- The interview was published on October 12, 2026. Kiuchi referred to remarks he made on September 25.
- Where
- Japan.
- Why
- The government says it wants to increase household income and improve living standards while keeping public finances sustainable.
This story does not have two clearly opposing sides.
Kiuchi said he had worked on the Basic Policy on Economic and Fiscal Management and Reform 2026 and the Japan Growth Strategy for nearly a year.
Kiuchi said the phase of Abenomics-style reflation, combining monetary easing with flexible fiscal policy, was over.
Prime Minister Sanae Takaichi said the government was beginning a year of responsible proactive fiscal policy.
Toyo Keizai published its interview with Kiuchi about Sanaenomics.
- Minister
- Minoru Kiuchi
- Investment target
- More than 370 trillion yen in public and private investment by fiscal 2040
- Policy documents
- Basic Policy on Economic and Fiscal Management and Reform 2026; Japan Growth Strategy
- Prime minister
- Sanae Takaichi
- Interview outlet
- Toyo Keizai
What people are saying
The current administration’s policies do not amount to reflationary policy.
Recovering the lost 20 years is our last chance.
Sources
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