Japan finds it difficult to sustain monthly gasoline subsidies amounting to tens of billions of yen
As reported by Asahi Broadcasting Corporation on the 23rd: At a party meeting, Seiji Suzuki, Secretary-General of the Liberal Democratic Party, called on the government to reevaluate its fuel price subsidy policy, as it has already imposed a heavy fiscal burden.
He said: "We are striving to keep the nationwide gasoline price around 170 yen per liter (approximately 7.5 RMB).
The latest average price for regular gasoline in Japan stands at 169.2 yen per liter. To maintain the price near 170 yen, the government continues providing subsidies to oil wholesalers. Starting from the 21st, the subsidy has reached 41.8 yen per liter (approximately 1.8 RMB).
On the 23rd, Suzuki expressed concern over this subsidy, stating: "This is an enormous fiscal burden, and we must seriously consider what lies ahead."
According to Tokio Nakai of Nomura Research Institute: If a subsidy of 10 yen per liter persists for one month, the cost would be approximately 100 billion yen (around 440 million RMB). If the current subsidy of 40 yen per liter continues, the subsidy fund is expected to be exhausted by the end of next month.
However, if all subsidies were suddenly removed, prices could rise to about 210 yen (9.24 RMB), which would severely impact daily life.
Nakai stated: "Since the goal is to provide equal support to everyone, I believe we should instead focus on genuinely needing assistance—low-income individuals or small transportation companies."
Original source: toutiao.com/article/1866031971347465/
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