• Also to maintain market confidence in Japan’s finances
  • Cannot decide now whether to proceed with second stage of hike to 10%
  • No link between tax hikes and corporate tax cuts
  • Must work on collective self-defence rights for Japan
  • Must consider calmly the question of collective self-defence
  • Japan will continue as a peaceful nation
  • Should be cautious of accepting immigrants
  • Will push to accept highly qualified foreigners and foreign construction workers into Japan

The sales tax hike is still very much an unknown quantity for at least another month or so Abe says that they must see if the economy rebounds in July-September and is securely out of deflation before deciding to lift the tax to 10%. He’s still expecting the pullback from the first hike to fall within expectations