Prime Minister Takaichi Sanae used her policy speech to restate her fundamental policy vision – using the state’s financial resources to guide industrial transformation – even as she and her ministers have denied that they are pursuing a “reflationary policy.”
The fact, despite US pressure and rising long-term interest rates, she has not deviated from the approach she has articulated since before taking office last year shows that she will not – and perhaps even cannot – reverse course.
