Japan’s Katayama: Will focus on key policies in FY27 budget to drive economic growth

Japan Finance Minister (FM) Satsuki Katayama said in the Asian trading session on Tuesday that the government aims to balance fiscal sustainability and economic growth and communicate with markets on this stance. However, Katayama refused to provide more details on the fiscal budget. "Can't comment on budget requests for Fiscal 2027," Katayama said. Have received various opinions on scheme for JGBs for retail investors. Likely to receive tax reform requests for JGBs targeting retail investors. Will carefully discuss with relevant parties including IDP on tax reform measures for JGBs for retail investors. No change in our stance that we hope for early opening of Strait of Hormuz, will respond properly to Iran-US peace talks considering impact on international society. No major reaction is seen in the Japanese Yen (JPY) following remarks from Japan's Katayama. As of writing, USD/JPY trades 0.13% higher to near 159.30.