Following is the gist of remarks made by Mr. Hiroshi Okuda, Chairman of Nippon Keidanren, at a scheduled press conference on 25 November 2002. Translation is rush and tentative, and sequence of the gist does not necessarily coincide with words delivered.
(On reduction of corporate tax)
Japan's corporate tax needs to be cut permanently for two reasons: Too high for international investors in investing into Japan so very few are investing here; and too high for Japanese companies operating in Japan from international competitiveness perspective, so more Japanese companies may opt out of this market. In any case, we will continue to speak on this matter at loud via varieties of opportunities awaiting us.
(On current status of the Japan's economy)
I find mixed figures within sectors, across sectors, and across the regions. In Tokyo, it is very difficult to observe problems but if you go out to distant cities situations are getting worse.
(On restructuring effort of financial sector)
I remember well that after the Plaza Accord, manufacturers fought hard against appreciation of the Yen while financiers (banks, securities and insurance companies) just sat and did nothing -- convoy system turned winners into losers. As the result, financiers now cannot invent a new profit center product. However, banks are finally on to restructuring, and that is a welcome sign.
(On The Times article)
It was a group interview with British journalists and some misquoted me. I did not say a word on nationalization of one of four big banking groups. What I said is that two of four are strong while other two are fragile -- this is what all Japanese know about.