As Cabinet members continued to explain that Prime Minister Takaichi Sanae (高市早苗) is not a reflationist, a series of messages aimed at containing the issue followed comments from the United States. The government has again denied the view that it is pursuing expansionary fiscal policy or appointing reflationists.
Following the telephone talks with Finance Minister Bessent held on 25 September, Finance Minister Katayama Satsuki (片山 さつき) again denied that Prime Minister Takaichi is a reflationist.
From the same day, Minister of State for Economic and Fiscal Policy Kiuchi Minoru (城内 実) explained at a press conference that “Abenomics-style reflationary policy, involving monetary easing and flexible fiscal management, is over,” and Cabinet members repeatedly stated that so-called Sanaenomics is not reflationary policy.
The exchanges with U.S. Treasury officials at the end of August and points raised at the press conference after the G20 meeting have been cited as reasons why the Cabinet's coordinated explanations came to align with the U.S. view.
The focus of this movement is on views concerning the government's true intentions regarding the continuation of expansionary fiscal policy and the appointment of reflationists, while explanations are being strengthened in response to reactions overseas.
Future reports are expected to focus on the consistency of Cabinet members' explanations and changes in the U.S. response.