Story perspectives

Takaichi Keeps Kiuchi, Signals Continued Expansionary Fiscal Policy

By Drooid · Sep 17, 2026, 3:01 PM UTC · How we work

Summary

Story summary

Prime Minister Sanae Takaichi will keep Economy Minister Minoru Kiuchi in Thursday's cabinet reshuffle.
Kiuchi’s retention signals continuation of expansionary fiscal policy despite 10-year JGB yield reaching 3.035% on Wednesday.
Finance Minister Satsuki Katayama, a fiscal conservative, also stays in the cabinet.
The Bank of Japan will raise interest rates to a 31-year high on Friday, continuing its hike cycle.

History

Historical Context

Following the 1997 consumption-tax increase that deepened the 1998 recession, Japan has repeatedly matched large fiscal outlays with cautious monetary policy—illustrated by Abe’s 2013 ¥10.3 trillion stimulus and the Bank of Japan’s appointment of Haruhiko Kuroda. Today’s retention of Economy Minister Minoru Kiuchi and fiscal-conservative Satsuki Katayama continues that historic pairing to combat persistent deflation.

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Story summary

Prime Minister Sanae Takaichi will keep Economy Minister Minoru Kiuchi in Thursday's cabinet reshuffle.
Kiuchi’s retention signals continuation of expansionary fiscal policy despite 10-year JGB yield reaching 3.035% on Wednesday.
Finance Minister Satsuki Katayama, a fiscal conservative, also stays in the cabinet.
The Bank of Japan will raise interest rates to a 31-year high on Friday, continuing its hike cycle.

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