Basic concepts of economic measures
Two phases are set, considering time frame for strategic implementation of various measures.
- The first phase, "Emergency Support Phase" is the period until the end of the contagion in sight.
- The second phase, "V-shaped recovery phase", refers to the period aiming at achieving strong recovery after the end of contagion by stimulating demands and advancing social structural changes.
- The Government will take timely and decisive actions as needed, with closely monitoring the development of COVID-19 and its impact on the economies and daily life.
Key measures of emergency support phase
- While containing the development of COVID-19, Government thoroughly secures employments, business and daily lives, to maintain solid base for economic recovery after the end of contagion.
- Measures to prevent the spread of infection, build medical treatment structures, and develop and pharmaceuticals :
- Protecting employment and keeping business viable.
- Emergency support for Households : Cash payment to all residents in Japan, Additional child allowance 10k per child, emergency microcredit to troubled households, enhance rent support for low income households, reduction or exemption of social security contribution etc.
- Emergency support for SMEs, etc.: Cash payment to SMEs and Sole proprietors, No interest no collateral loan for SMEs, Reduction or exemption of local property tax etc.
- Enhancement of the subsidy for leave allowance : From April to December, Subsidy rates are raised for SMEs and Large enterprises.
Key measures of V-shaped recovery phase
- The phase to achieve strong recovery by stimulating consumptions in affected sectors, as well as investments for future such as digitalization and deployment of remote technologies.
- Recovery of economic activities through public and private cooperation as the next phase
- Support affected sectors, such as tourism and transportation, food service and entertainment business : Providing incentives to consumption expenditure on related areas in form of price discount, voucher or point reward etc.
- Evitalize regional economy : Supporting agriculture, forest and fisheries, revitalizing inbound tourism through strategic promotion etc.
- Making economic structure more resilient
- Enhance resilience of supply chain.
- Facilitate overseas businesses, and strengthen export and domestic production capacities of agriculture, forestry and fishery products and food.
- Accelerate digital transformation by deploying remote technologies.
- Frond-load public investment.