Market Chatter: Takaichi Targets 2026 Budget Draft in March, Seeks Opposition Backing After Election Win

MT Newswires Live
Feb 25

Prime Minister Sanae Takaichi said her government aims to pass the fiscal 2026 draft budget by the end of next month, following delays caused by her decision to call a snap election, the Mainichi reported on Tuesday.

During her first parliamentary questioning since the recent general election, she urged opposition parties to cooperate on the enactment to prevent disruptions to citizens' daily lives before the new fiscal year begins in April, the publication said.

The call for collaboration came in response to Junya Ogawa, leader of the Centrist Reform Alliance, who cautioned against rushing the process and insisted on holding thorough discussions, the news daily said.

Takaichi also reaffirmed her Liberal Democratic Party's (LDP) commitment to its campaign pledge of a two-year suspension of the consumption tax on food and beverages, clarifying that the government would not resort to deficit-covering bonds to fund the policy, the report added.

The current 150-day parliamentary session follows the LDP's landslide victory in the Feb. 8 lower house election, where its ruling coalition secured three-quarters of the seats, the Mainichi said.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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