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Japan Drops Annual Primary-Balance Target as Takaichi Resets Fiscal Strategy

New private members on the government’s economic council point to a shift toward more activist fiscal policy.

Overview

  • The government formally named four private members to the Council on Economic and Fiscal Policy, including former BOJ deputy governor Masazumi Wakatabe and DeNA chair Tomoko Nanba, with the first session under the new lineup expected next week.
  • Oji Holdings said it will halt one paper machine at its Tomakomai mill by late March 2026 in response to weaker newsprint demand, a move affecting 159,000 tons of annual capacity that the company says will not disrupt supply.
  • Aichi Prefecture’s circular-economy project team and participating firms are piloting sorting and recycling of used plastics into polyethylene bags with an eye to commercialization in fiscal 2026.
  • Toyoake city councilor Chiho Horiuchi announced that police accepted her renewed complaint alleging sexual harassment by a sitting male councilor related to an incident last December.
  • Hokkaido lifted a four-month bear advisory covering Sunagawa after reports dropped sharply as the animals’ activity eased heading into winter.