Japanese Gov't approves 2025 draft budget with record defence spending

The Japanese government on Friday approved a draft budget for fiscal year 2025, with a record 8.7 trillion yen (US$55.4 billion) marked for defence spending, reported Sputnik/RIA Novosti citing a Kyodo news agency report.

The total budget for the fiscal year starting April 1 is 115.54 trillion yen (US$732.23 billion), of which more than 10 per cent, or 8.7 trillion yen, is expected to be spent on defence, the news agency said, adding that the draft budget will later be reviewed during the January session of the Japanese parliament.

The upcoming defence budget reportedly includes developing long-range missiles to improve the country's military capabilities to target enemy bases. The plan also provides for boosting the ability to strike adversaries outside of their attack range and increasing drone capabilities.

The education budget will be 5.55 trillion yen (US$35.17 billion), while the social budget will be 38.28 trillion yen (US$4242.6 billion).

By 2027, Japan plans to increase its total defence spending from 2023 to 43 trillion yen (about US$273 billion). Thus, the defence budget is expected to increase every fiscal year. However, the Japanese government has yet to decide on the source of defence funding, as Prime Minister Shigeru Ishiba has advocated raising corporate taxes, an initiative that has many opponents even within Ishiba's ruling Liberal Democratic Party.

--BERNAMA-SPUTNIK/RIA NOVOSTI