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Abe must make sure to implement economic growth policies effectively
Publication Date : 29-09-2013
The determination of Japanese Prime Minister Shinzo Abe, who is trying to advertise Japan overseas to give an additional push to his economic rejuvenation policies, has become very clear. What he must do now is demonstrate his ability to implement policy measures to realise his goal.
Abe, who is visiting the United States, delivered a speech at the New York Stock Exchange and explained his Abenomics economic policies. “Buy my Abenomics,” he said during the speech. The three words symbolise the prime minister’s aim.
Specifically, he emphasised that the government would do its best to create an environment to facilitate investment.
As part of his growth strategy, he said he would push through a “bold tax reduction” to promote proactive investment by companies. He also made clear that he would push regulatory reform to realize economic revitalisation.
Corporate tax cuts and deregulation can also be expected to help lure foreign investment to Japan.
Abe must now demonstrate his leadership in implementing his growth strategy, which is now an “international pledge”, and in reviewing various regulations.
During the speech at the NYSE, Abe also publicised Japan’s state-of-the-art technologies.
He emphasised the high levels of safety technology in the nation’s nuclear reactors and said that Japan will “continue to make contributions to the world” with the technology. He also stated that Japan will not abandon its nuclear power generation technology.
He thus clarified his stance of actively utilising nuclear power plants. For resource-poor Japan, this is an appropriate choice.
He explained that introduction of a high-speed railway system using Japan’s superconducting magnetic levitation technology could connect New York and Washington “in less than an hour”.
Infrastructure exports such as nuclear reactors and railway systems are considered a major pillar of Japan’s growth strategy. Cooperation between the public and private sectors must be reinforced to promote such exports.
During his speech at the UN General Assembly, Abe said Japan would positively contribute to the peace and stability of the international community from the standpoint of a “proactive pacifism” based on the recovery of its economic might.
Gaining a greater voice and influence in the international community will likely positively affect the Japanese economy. It is important to generate such a virtuous circle.
It is noteworthy that Abe positioned support of women as one of Japan’s important international contributions and declared Japan would implement official development assistance in excess of $3 billion to that end over the next three years.
Abe also said clearly that he would bring about “a society where women shine”.
Through ODA, Abe explained, Japan will tackle the promotion of women’s active participation in society, improvement of health and medical care for women, and securing the safety of women in times of conflict.
Utilising the potential of women would also result in economic growth. “Womenomics,” in Abe-speak, should be concretely realised.