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The Japanese government has set a GDP growth target of more than 2% for the coming decade by creating new demand and jobs in fields such as environment, health, and tourism.
Under the new growth strategy, which was unveiled after a meeting of Prime Minister Yukio Hatoyama's Cabinet on Wednesday morning, the government said that it aims to lift the nation's gross domestic product to JPY 650 trillion in fiscal 2020/21 compared to the JPY 473 trillion it expects for this fiscal year.
The Cabinet vowed to bring down the unemployment rate within a 3%-3.9% range in the medium-term, from November's 5.2%. It also aims to create new demand worth more than JPY 100 trillion by fiscal 2020/21 in the areas of environment, health and tourism.
According to the growth strategy's outline, the government plans to create 1.4 million jobs in environment-related industries and to cut 1.3 billion tons in global greenhouse gas emissions by 2020 from the current 28 billion tons.
To boost tourism and regional economies, the Cabinet aims to triple the number of foreign visitors to Japan to 25 million by the end of the next decade through measures such as making it easier to obtain tourist visas.
In addition to environment, health, and tourism, the growth strategy also targets a boost in investment in research and development of the science and technology sector by more than 4% of GDP to help support the nation's growth.
The government also intends to set up a free trade zone among members of the Asia-Pacific Economic Cooperation group, and make Tokyo's Haneda airport a round the clock hub for international flights.
The Cabinet plans to elaborate on the strategy next June, including how to finance measures in the strategy, possible tax incentives, and when to implement proposed policies over the coming decade.
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