The Japanese version of the "Government Efficiency Department" has been launched, with the Cabinet swiftly responding to the central bank's interest rate hike hint.

On December 2, the Japanese government launched its own version of the "Government Efficiency Department" (DOGE). At its inaugural meeting, officials laid out a plan to identify and eliminate inefficient tax measures and subsidies. Following the first DOGE meeting, Finance Minister Taro Aso told reporters on Tuesday: "By cutting waste through efforts from the public and all stakeholders, and redirecting funds to areas with true need, we will clearly distinguish ourselves from previous administrations. This is critical to maintaining trust in our country, currency, and markets." Aso also noted that after Bank of Japan (BOJ) Governor Haruhiko Kuroda expressed confidence in the economic outlook and hinted at a potential interest rate hike, he sees no discrepancy between the government and the BOJ in their economic assessments. Japan’s Minister of State for Economic Growth Strategy Minoru Kiuchi echoed these comments exactly, saying the response stemmed from cabinet coordination aimed at sending a unified signal of support. (Kinoko)