¥122.3 trillion budget for 2026...

Japan enacts its largest-ever national budget of ¥122.3 trillion for 2026, reflecting Prime Minister Takaichi’s expansionary fiscal policy. The budget allocates about ¥39 trillion to social security, nearly one-third of total spending. It also includes funding for free high school tuition, public school meals, and shared costs between national and local governments. Defence spending rises to ¥8.8 trillion, marking an increase from the previous year. The move comes amid financial market pressures, including rising government bond yields and a weakening yen, highlighting Japan’s balancing act between growth and fiscal stability.

Tuesday, 7 April, 2026