The followings are major statements of Mr. Takashi Imai, Chairman of Keidanren, at a press conference on January 5, 2000. (tentative translation)
The year of 2000 must be one for decisive structural reforms and laying the groundwork for economic growth in the 21st century. Especially, drastic tax and legal reforms to meet "global competition," bold regulatory and institutional reforms to encourage new business and industries, and the establishment of sustainable social security systems have significant importance.
Japan's economy will gradually recover this year. By the end of FY 2000, the economy will be back to the track of two-percent growth. The current rising trend of the yen is a concerning factor during the first six month this year. Also, a possible rise of global interest rate in the latter half of this year will be another concern.
Japan's corporate performance will certainly improve. Therefore, it is only a matter of time for the Nikkei average to recover the level of 20,000 yen.
(Regarding the decision of the three ruling parties to postponed introduction of "pay-off" for a year) The decision was regrettable. It reminds us of the government's traditional overprotection for the financial institutions. The government should make a clear commitment not to postpone the freeze more than one year. Also the government prepare for appropriate safety net by the end of March 2002.