Japan's FY 2027 Budget Requests May Exceed 130 Trillion Yen Record

The Japanese government is expected to face a significant increase in its budget requests for fiscal year 2027, potentially exceeding 130 trillion yen.

This would represent a record high, surpassing the current fiscal year's initial budget of 122.31 trillion yen.

The Ministry of Defense plans to seek around 8.9 trillion yen, a new record high, with key spending areas including interceptor drones, artificial intelligence in command-and-control systems, and long-range missiles.

Budget requests on social security, such as pensions and medical costs, are expected to rise by around 390 billion yen due to Japan's aging population.