This archive report was first published on 5 December 2019.
On December 5, 2019, Japanese Prime Minister Shinzo Abe announced a $120 billion (KSh12.2 trillion) stimulus package to aid the country's recovery from recent natural disasters and a potential economic slowdown.
The package, aimed at alleviating the impact of last month's tax hike, includes measures to help the nation overcome the aftermath of the nation's recent natural disasters, including Typhoon Hagibis.
"We will introduce a daring fiscal policy worth 13 trillion yen ($120 billion)," Abe told ministers and party leaders at the prime minister's office.
The package totals some 26 trillion yen if spending by the private sector is counted, according to public broadcaster NHK and other local media.
Under the plan, the government will spend some six trillion yen on public investment to repair damaged infrastructure.
The Tokyo market welcomed the package, with stimulus-related shares such as construction companies benefiting from the announcement.
However, some analysts warned that the impact of the package could be limited, and that it may not help reform the nation's slow-growth economy fundamentally.
