Following a regular cabinet meeting held on Tuesday, Japanese Finance Minister Hirohisa Fujii announced that the consensus within the Japanese government is to compile a fresh stimulus package this week aimed at tackling the negative impact of deflation and addressing recent concerns over a strengthening yen, which has pummeled Japan's export-driven economy of late.

According to Fujii, the package will include a second extra budget for this fiscal year to support the economy, but the actualize of the new budget is yet to be determined, he stated.

As for regulations to create fresh domestic incentives within the economy, Hirohisa Fujii commented that the current regulations would be changed, but declined to elaborate as to exactly how and to what extent.

The Finance Minister on Tuesday also called for Japan's central bank, the Bank of Japan (BOJ), to further bolster the economy through "appropriate monetary steps."

Although he said the government should not dictate which steps the BOJ ought to take, he added that quantitative easing, if implemented, would have a positive impact on the economy.

The government "will keep closely monitoring the currency markets," Fujii said.

(Xinhua News Agency December 1, 2009)