NEW YORK, June 28 Japan must commit to strong
measures to boost growth so that the economy can withstand
higher taxes and tighter fiscal policy in coming years, a senior
Japanese government official said on Friday.
"We need to consider (the) risk that the fiscal condition
could deteriorate if the economy is not robust enough to absorb
the negative impact of tax increases," said Vice Economics
Minister Yasutoshi Nishimura in a speech at the Japan Society in
New York. "So we'll implement a growth strategy to make the
economy resilient to any shocks."
Prime Minister Shinzo Abe's government intends to implement
comprehensive tax reform, including an increase in the
consumption tax, over the next two years. The government wants
to cut Japan's deficit in half by 2015 and achieve a surplus by