Japan's FY 2027 budget requests to top 130 tril. yen for new record high

Japan's budget requests from ministries and agencies for fiscal 2027 starting April are set to top 130 trillion yen ($819 billion), significantly higher than last year's record of 122 trillion yen due to the government's promotion of growth investment, sources close to the matter said Friday.

In a major budget drafting reform, Prime Minister Sanae Takaichi's government has not set caps on ministries' requests for growth strategy spending. It will also secure funds for policies needing multiyear implementation, rather than drawing up the initial budget on the assumption that a supplementary budget will be crafted for additional spending.