Japan's ruling Liberal Democratic Party passed a plan to temporarily lower the food consumption tax rate over the next two years. The move was aimed at calming voters, but it also raised concerns about Japan's financial situation. At a meeting held on Wednesday, the Liberal Democratic Party General Council approved a plan promoted by Prime Minister Takaichi Sanae to reduce the consumption tax rate on food and non-alcoholic beverages from the current 8% to 1%. The plan will almost certainly be approved by the cabinet later that afternoon, paving the way for passage into law at the National Assembly session later this year. The tax reduction itself is scheduled to be implemented in April, although the exact details of its funding source are unclear.

Japan's ruling Liberal Democratic Party passed a plan to temporarily lower the food consumption tax rate over the next two years. The move was aimed at calming voters, but it also raised concerns about Japan's financial situation. At a meeting held on Wednesday, the Liberal Democratic Party General Council approved a plan promoted by Prime Minister Takaichi Sanae to reduce the consumption tax rate on food and non-alcoholic beverages from the current 8% to 1%. The plan will almost certainly be approved by the cabinet later that afternoon, paving the way for passage into law at the National Assembly session later this year. The tax reduction itself is scheduled to be implemented in April, although the exact details of its funding source are unclear.