Japan and highest debt ratio in the world: LDP political family disaster
Kanako Mita and Lee Jay Walker
Modern Tokyo Times
The government of Japan is blighted with the worst debt ratio of any nation in the world. However, national budgets and stimulus packages keep on growing – including military spending – along with helping Ukraine and countless nations via grand projects.
The new Liberal Democratic Party (LDP) leader must outperform the other by squandering the taxes of hard-working people on international projects and propping up the financial system. Thus, during international meetings concerning the environment, the G-7, United Nations, one-on-one national talks, the international coronavirus project, and so forth – vast money is provided by the leaders of Japan. However, people at home face growing anxiety concerning wages, the pension system, low birthrate, inadequate minimum wages, increasing temporary work, and other ills.
Under the former leader Yoshihide Suga, the country of Japan provided just under one-eighth of all money to the Covid-19 COVAX scheme at one point. This amounted to 1 billion dollars. Likewise, the anti-Russia Prime Minister Fumio Kishida is creating an abundant supply of money to Ukraine concerning his anti-Russian Federation project. However, with people suffering at home – and the known low birthrate of over three decades ago – it seems that the LDP merely builds up the mountain of debt. Therefore, the central government of Japan is abusing the hard-earned taxes of ordinary Japanese people on other nations concerning countless international projects.
America holds the highest national debt of any nation in the world. This figure is approximately 30 trillion dollars. At the same time, despite 100,000 overdose deaths in a 12 month period for the first time in the history of this nation – and over 500,000 homeless people and a chaotic border – the government of President Joe Biden is equally fixated on external issues to the detriment of ordinary people at home.
The nominal GDP ratio in Japan is a staggering 256%. This is the highest in the world. Hence, the debt ratio is approximately 2.5 times the entire annual economic output in this country. Yet – similar to other recent leaders of Japan – Kishida announced the highest budget in history – including the highest military budget in Japanese history.
For the 10th straight year in Japan, the government announced the highest-ever budget. Kishida announced in December a budget of approximately $940 billion in 2022. This is roughly 20% of the GDP of Japan – and is a fourth straight year. However, instead of tackling the debt crisis, the LDP props up mega-corporations related to the high ratio of stocks owned and continues to provide credit lines for Ukraine and countless other nations – while wages remain static for roughly two decades for the majority of people.
Reuters reports, “Japan’s debt servicing costs would exceed 30 trillion yen ($261 billion) for the first time ever in fiscal 2025 if interest rates rise by 1% more than expected, a draft of the Ministry of Finance’s (MOF) estimates…”
Despite three squandered decades – and the highest nominal debt ratio ever generated by any nation in the world – the LDP dominates political power apart from the odd hiccup.
This system – like the debt system and grand international projects before solving the internal situation – is moribund and needs altering.
However, with the family LDP political system firmly entrenched – and approximately 45 percent or higher not bothering to vote – it seems like “Play it again LDP Sam” will continue – but can the nation afford this?