Japan’s next reconstruction package should be “at least” 10 trillion yen ($125 billion) and the nation’s central bank ought to step up stimulus, a potential candidate to succeed Prime Minister Naoto Kan said.
Prime Minister Naoto Kan ’s battle to fund Japan’s budget and avoid early elections suffered another blow as his foreign minister quit over an illegal donation and a poll showed fewer than one voter in four supports him.
Japan’s parliament passed two pieces of legislation that Prime Minister Naoto Kan said were conditions for him to resign as early today, setting up a succession battle that will play out by early next week.
Japanese Economy Minister Seiji Maehara said the country needs more monetary easing and policy efforts to encourage growth as the government prepares for election against an opposition that has stronger public support.
Japan’s exports fell the most since the aftermath of last year’s earthquake as a global slowdown, the yen’s strength and a dispute with China increase the odds of a contraction in the world’s third-largest economy.