Cabinet approves record Yen92 trillion budget

the Cabinet will have to issue ¥44.30 trillion in new government bonds — an alarming increase of 33.1 percent on the previous initial budget.

The latest amount equals the sum of the bond issuance planned by the previous government for the initial budget, and the first extra budget for fiscal 2009.

In this regard, Hatoyama fulfilled his promise because he repeatedly vowed to cap new bond issuance at around ¥44 trillion to avoid eroding confidence in the bond market. But this is the first time since the war that new debt issuance has exceeded tax revenues on an initial budget basis, according to the Finance Ministry.