Gov't starts mulling additional economy-spurring measures+

TOKYO, Aug. 16 Kyodo -
The government has started considering additional measures aimed at addressing
the slowing economy and stronger yen, government sources said Monday.
The measures are expected to include stimulating personal consumption of
eco-friendly products, helping new graduates find jobs and revitalizing small
and midsize companies, they said.
Regarding financial resources for the implementation of additional measures,
ideas such as using surpluses from the fiscal 2009 budget or part of the
reserves compiled in the fiscal 2010 budget have been floated.
But it remains uncertain whether the government will be able to hammer out and
implement measures swiftly in the divided Diet, where opposition parties
control the upper house and the ruling coalition the lower house.
Following the release Monday of slower-than-expected gross domestic product
growth data showing the Japanese economy expanded an annualized real 0.4
percent in the quarter through June, Prime Minister Naoto Kan ordered Finance
Minister Yoshihiko Noda and other related ministers to report on the current
economic situation and outlook.
''We need to closely watch (the economy) including foreign exchange,'' Kan told
reporters, referring to the growth data and the recent sharp rise in the yen
against the U.S. dollar and other major currencies, which has had a negative
impact on the earnings of Japanese exporters.
The government will consider specific economic measures based on reports from
Noda as well as Satoshi Arai, state minister in charge of economic and fiscal
policy, and Masayuki Naoshima, economy, trade and industry minister, the
sources said.
==Kyodo
2010-08-16 22:49:57