Japan PM reshuffles Cabinet over tax bill

TOKYO – Japanese Prime Minister Yoshihiko Noda reshuffled his Cabinet Monday, replacing five ministers in an attempt to gain opposition support for his plan to double the sales tax.


Mr. Noda replaced his ministers of defense, justice, agriculture, infrastructure and financial affairs in hopes of getting his tax changes through a divided parliament. All of the ministers had faced criticism in Japan’s opposition-controlled upper house of parliament.


The increase in the sales tax, which would bring it to 10 percent by 2015 from five percent now, is seen as essential in an effort to curb Japan’s growing public debt.


The cabinet changes came after a meeting Sunday with the main power broker in Mr. Noda’s Democratic Party, Ichiro Ozawa, ended in a deadlock. Ozawa opposes the tax hike.


Mr. Noda, a former finance minister, has pledged to bring the tax hike plan to a vote in the current session of parliament, which ends on June 21.


Without the support of lawmakers loyal to Ozawa, Mr. Noda needs the aid of the opposition Liberal Democrats to push the hike through.

 


Source: Agencies