USA: JAPAN'S FOREIGN MINISTER PROMISES THE UNITED STATES THAT THE NEW TOKYO ADMONISTRATION WILL MOVE QUICKLY TO REVIVE THE AILING ECONOMY

Record ID: 337700

  • Title: USA: JAPAN'S FOREIGN MINISTER PROMISES THE UNITED STATES THAT THE NEW TOKYO ADMONISTRATION WILL MOVE QUICKLY TO REVIVE THE AILING ECONOMY
  • Date: 15th August 1998
  • Summary: WASHINGTON, DC, UNITED STATES (AUGUST 14, 1998)(RTV) 1. SV SECRETARY OF STATE MADELEINE ALBRIGHT WALKING INTO NEWS CONFERENCE WITH JAPANESE FOREIGN MININSTER MASAHIKO KOMURA 0.10 2. SV MEDIA 0.13 3. MCU ALBRIGHT SAYING "CLEARLY THE MOST PRESSING CHALLENGE FOR US TODAY IS WHAT WE PERSIST IN CALLING THE ASIAN FINANCIAL CRISIS, ALTHOUGH THAT CRISIS IS NO LONGER CONFIRMED TO ASIA AND HAS NEVER BEEN JUST FINANCIAL." (ENGLISH) 0.27 4. SLV MEDIA 0.30 5. MCU ALBRIGHT SAYING "I WILL STRESS AGAIN TODAY THAT A STRONG JAPANESE ECONOMY IS IMPORTANT NOT ONLY FOR JAPAN BUT FOR THE REST OF THE WORLD AND THAT WE LOOK TO THE NEW GOVERNMENT OF PRIME MINISTER OBUCHI FOR QUICK AND DECISIVE ACTION." (ENGLISH) 0.46 6. MCU ATTENDANTS 0.50 7. MCU JAPANESE FOREIGN MINISTER KOMURA SAYING "THE OBUCHI CABINET AS A CABINET FOR ECONOMIC REVIVALS IS PUTTING ITS WHOLE EFORT INTO THE REVITALIZATION OF JAPAN'S ECONOMY. THE MOST IMPORTANT ISSUE OF THE MOMENT (NO AUDIO), NOT ONLY BENEFITS THE JAPANESE PEOPLE BUT IS THE BEST WAY TO CONTRIBUTE TO THE WORLD, INCLUDING ASIA. TODAY WILL EXPLAIN TO SECRETARY ALBRIGHT SUCH RECOGNITION OF CABINET AS WELL AS OUR MEASURES TO ADDRESS THE NON-PERFORMING LOAN PROBLEM DECISIVELY TO SUSPEND THE FISCAL STRUCTURAL REFORMAT FOR THE TIME BEING TO PREPARE A SECOND SUPPLEMENTARY BUDGET OF TOTAL PROJECTS OVER 10 TRILLION YEN AND TO IMPLEMENT PERMANENT TAX REDUCTIONS WHICH IN TOTAL, SUBSTANTIALLY EXCEEDS SIX TRILLION YEN. I WILL CONVEY OUR CABINET'S EFFORT TO MAKE IT POSSIBLE FOR JAPAN'S ECONOMIC RECOVERY. I WILL ALSO LIKE TO CONFIRM WITH SECRETARY ALBRIGHT THE NECESSITY OF COORDINATED ASSISTANCE BETWEEN JAPAN AND US FOR THE ASIAN ECONOMIC RECOVERY" (JAPANESE) 2.12 8. MCU ALBRIGHT LISTENING 2.15 9. MCU JAPANESE FOREIGN MINISTER KOMURA, SAYING "AFTER THE BURSTING OF THE JAPANESE BUBBLE ECONOMY, WHAT HAS BEEN A DRAG ON THE JAPANESE ECONOMY IS THE SENSE OF INSECURITY AND INSTABILITY IN THE NATIONAL SYSTEM. THE SO-CALLED ISSUE OF NON-PERFORMING LOANS, THE GOVERNMENT WILL PUT ALL ITS EFFORTS IN FUNDAMENTALLY ADDRESSING THIS THRU ECONOMIC MEASURES, AND THE RELATED BILLS NECESESSARY FOR THAT HAVE ALREADY BEEN SUBMITTED TO THIS SESSION OF THE DIET, SO WE HAVE THE RESOLVE TO MOVE AHEAD IN THIS DIRECTION" (JAPANESE) 2.49 10. SLV ATTENDANTS 2.52 11. MCU JAPANESE FOREIGN MINISTER KOMURA, SAYING: "WE WILL BE IMPLEMENTNG TAX REDUCTIONS WHICH WILL SUBSTANTIALLY EXCEED SIX TRILLION YEN AND I CAN SAY THAT IT WOULD BE NEARLY SEVEN TRILLION YEN. FOR THE PERSONAL INCOME TAX REDUCTION ALREADY FOUR TRILLION YEN'S WORTH OF SUCH TAX CUTS HAS BEEN IMPLEMENTED THIS YEAR AS SPECIAL TAX CUT PERIOD FOR ONE YEAR. BUT NEXT YEAR, WITH NO TIME LIMTS, WE WILL CONTINUE WITH THIS TAX REDUCTION. AS FOR FOR CORPORATE INCOME TAX REDUCTION, THIS YEAR WE HAVE SEEN FOUR PERCENT CUT IN THAT REGARD BUT NEXT FISCAL YEAR, THERE WILL BE ANOTHER SIX PERCENT IN TAX CUT, WHICH WILL MAKE JAPANESE INCOME TAX RATE EN PAR WITH THE U.S., BEING 40 PERCENT." (JAPANESE) 3.40 12. SLV KOMURA AND ALBRIGHT 3.45 Initials Script is copyright Reuters Limited. All rights reserved
  • Embargoed: 30th August 1998 13:00
  • Keywords:
  • Location: WASHINGTON, DC, UNITED STATES
  • City:
  • Country: USA
  • Reuters ID: LVAC73SS4YKASIQFBKPN3IFAM5TC
  • Story Text: Japan's Foreign Minister has promised the United States that the new Tokyo Administration would move quickly to revive the ailing economy and that the Japanese market will balance itself in the near future.

    In his first visit to Washington as Japan's Foreign Minister, Masahiko Komura said Japan's new government "is now putting its whole energy into the revitalisation of Japan's economy, the most important issue of the moment." Komura met with Secretary of State Madeleine Albright Friday (August 14) in a daylong series of meetings.

    The United States has repeatedly warned Tokyo that it is running out of time to solve its pressing banking problems and stimulate the recession-blighted economy.

    Albright said she would use her meeting with Komura to lobby for immediate action.

    "I will stress again today that a strong Japanese economy is important not only for Japan but for the rest of the world, and that we look to the new government of Prime Minister Obuchi for quick and decisive action," Albright said.

    Komura, hoping to assuage any doubts, said he would provide Albright with details about government measures to address the country's banking problems and cut taxes.

    Obuchi said last week that he would ask parliament to approve tax cuts worth more than six trillion yen, about $40 billion.

    "I will convey to her (Albright) our Cabinet's determination to make every possible effort for Japan's economic recovery," Komura said.

    The foreign minister also promised that Tokyo would make every effort to resolve the bank sector crisis, seen as a major weakness in the world's second largest economy.

    "The government will put all of its efforts in fundamentally addressing this through economic measures," he said.

    Komura and Albright also planned to discuss the financial crisis gripping other Asian nations.


  • Copyright Holder: REUTERS
  • Copyright Notice: (c) Copyright Thomson Reuters 2015. Open For Restrictions - http://about.reuters.com/fulllegal.asp
  • Usage Terms/Restrictions: None
Register