non-discretionary spending: Cuts to non-discretionary spending are also part of the plan, according to The Japan Times. Prime Minister Yoshihide Suga is pushing for investment into green and digital technologies even as the government struggles under the developed world's heaviest debt burden. Under the plan, ministries get 3 to spend on projects in targeted areas including the environment and digitalization for every yen they're able to cut from other spending, according to documents released by the Cabinet Office Wednesday. ; The plan calls for cuts of 10% to discretionary spending, which totaled 14.9 trillion 135 billion last year across the country's ministries. The new budgeting mechanism is an attempt to square that circle by providing incentives for Japan's bureaucrats to cut costs while also funding the country's new growth projects. Analysts are skeptical the goal will be met, but the new budgeting incentives could at least help. Like many countries, Japan has adopted new targets for reducing greenhouse gases, aiming for net-zero emissions by 2050.
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Tagged under non-discretionary spending, debt burden topics.