With little time left, the ruling Liberal Democratic Party-Komeito coalition clinched an agreement with the opposition Democratic Party for the People Wednesday over an economic stimulus package set to gain parliamentary approval in the coming weeks.
After days of LDP resistance to the DPP’s push for an increase of the limit for income tax exemptions and a temporary lifting of the gasoline tax, the three parties managed to strike a deal, with the government expected to formalize it on Friday.
The package will include cash handouts to lower-income households and subsidies to help families cope with rising utility bills, as well as additional investments on artificial intelligence and semiconductors.