It is important to create an environment where corporate profits expand and more pay raises come to ensure a virtuous economic cycle. In this context, it is necessary to vitalize business activities through deregulation and tax system reform. It is now or never for Japan to get out of deflation and make a sustainable economic growth happen. I hope that the government-labor-management meeting will play an important role in building a consensus on how to realize a positive cycle of the Japanese economy with all nation's strength.
Business delegation to China
I have tackled the issue of improvement of Japan-China relations as one of the most important challenges for Keidanren since I became the chairman of the organization.
As part of those activities, the business delegation had a policy dialogue with Vice Premier Wang Yang and some Chinese leaders last week. The recognition confirmed through the meetings are as follows:
- China and Japan, the number two and three economic powers in the global market share important responsibilities for the development of the economy of Asia and the world.
- The improvement of the bilateral relationship will be beneficial not only for both nations but also for the whole world.
- The two countries should pursue a mutually beneficial relationship based upon common strategic interests from scratch.
- The expansion of the bilateral business will contribute to building of a climate of mutual trust and mutual respect in Japan and China, leading to the improvement of the bilateral political and diplomatic relations.
- The political and diplomatic relationship which have caused the declines in trade and investment between the two business giants should be improved.