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Viewing cable 09TOKYO691, JAPANESE MORNING PRESS HIGHLIGHTS 03/27/09

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Reference ID Created Released Classification Origin
09TOKYO691 2009-03-27 00:56 2011-08-26 00:00 UNCLASSIFIED Embassy Tokyo
VZCZCXRO1369
PP RUEHFK RUEHKSO RUEHNAG RUEHNH
DE RUEHKO #0691/01 0860056
ZNR UUUUU ZZH
P 270056Z MAR 09
FM AMEMBASSY TOKYO
TO RUEHC/SECSTATE WASHDC PRIORITY 1825
INFO RUEKJCS/SECDEF WASHDC PRIORITY
RHEHAAA/THE WHITE HOUSE WASHINGTON DC PRIORITY
RUEAWJA/USDOJ WASHDC PRIORITY
RULSDMK/USDOT WASHDC PRIORITY
RUCPDOC/USDOC WASHDC PRIORITY
RUEAIIA/CIA WASHDC PRIORITY
RUEKJCS/JOINT STAFF WASHDC//J5//
RHHMUNA/HQ USPACOM HONOLULU HI
RHHMHBA/COMPACFLT PEARL HARBOR HI
RHMFIUU/HQ PACAF HICKAM AFB HI//CC/PA//
RHMFIUU/USFJ //J5/JO21//
RUYNAAC/COMNAVFORJAPAN YOKOSUKA JA
RUAYJAA/CTF 72
RUEHNH/AMCONSUL NAHA 5536
RUEHFK/AMCONSUL FUKUOKA 3196
RUEHOK/AMCONSUL OSAKA KOBE 6988
RUEHNAG/AMCONSUL NAGOYA 0927
RUEHKSO/AMCONSUL SAPPORO 3736
RUEHBJ/AMEMBASSY BEIJING 8469
RUEHUL/AMEMBASSY SEOUL 4497
RUCNDT/USMISSION USUN NEW YORK 4363
UNCLAS SECTION 01 OF 09 TOKYO 000691 
 
SIPDIS 
 
DEPT FOR E, P, EB, EAP/J, EAP/P, EAP/PD, PA; 
WHITE HOUSE/NSC/NEC; JUSTICE FOR STU CHEMTOB IN ANTI-TRUST DIVISION; 
TREASURY/OASIA/IMI/JAPAN; DEPT PASS USTR/PUBLIC AFFAIRS OFFICE; 
SECDEF FOR JCS-J-5/JAPAN, 
DASD/ISA/EAPR/JAPAN; DEPT PASS ELECTRONICALLY TO USDA 
FAS/ITP FOR SCHROETER; PACOM HONOLULU FOR PUBLIC DIPLOMACY ADVISOR; 
CINCPAC FLT/PA/ COMNAVFORJAPAN/PA. 
 
E.O. 12958: N/A 
TAGS: OIIP KMDR KPAO PGOV PINR ECON ELAB JA
 
SUBJECT: JAPANESE MORNING PRESS HIGHLIGHTS 03/27/09 
 
Index: 
 
Opinion polls: 
1) Yomiuri: 68 PERCENT  "unconvinced" by Ozawa's decision to stay as 
DPJ head despite aide's indictment; Aso seen now as more appropriate 
to be prime minister  (Yomiuri) 
2) Kyodo poll: 66 PERCENT  want Ozawa to quit post as DPJ head; 
Prime Minister Aso's stock rises in the public's eye  (Tokyo 
Shimbun) 
 
Scandal after scandal: 
3) Cries for Ozawa to resign are rising in the Democratic Party of 
Japan after his aide is indicted for accepting illegal donations 
(Yomiuri) 
4) METI Minister Nikai received falsified donations from Nishimatsu 
Construction disguised as personal contributions  (Asahi) 
5) Nikai's office paid for by Nishimatsu: Whenever rent was late, 
Nishimatsu contacted for payment  (Mainichi) 
6) Senior Vice Finance Minister Koichi Hirata quits after shady 
stock sales revealed  (Mainichi) 
 
Diet agenda: 
7) Tug of war again in the LDP over whether to have an early Diet 
dissolution  (Mainichi) 
8) Fiscal 2009 budget to pass the Diet today, making way for quick 
action to ready the supplementary budget bill  (Nikkei) 
9) Extra budget to contain 2 trillion yen for solar energy  (Sankei) 
 
 
10) Government plans to provide 1.6 trillion yen in trade insurance 
to help developing countries  (Tokyo Shimbun) 
 
North Korea problem: 
11) Defense Minister Hamada says that even if North Korea-launched 
missile is intercepted, Japan could suffer some damage  (Asahi) 
12) Deputy Chief Cabinet Secretary Konoike on the hot seat for 
disparaging remark about Japan's missile defense capability to 
intercept DPRK missiles  (Mainichi) 
 
Articles: 
 
1) Poll: 68 PERCENT  disagree with Ozawa's decision to stay on 
 
YOMIURI (Top play) (Abridged) 
March 27, 2009 
 
According to a spot nationwide opinion survey conducted by the 
Yomiuri Shimbun over the telephone from the afternoon of March 25 
through yesterday evening, a total of 68 PERCENT  of the public said 
they did not agree with Democratic Party of Japan (Minshuto) 
President Ozawa's decision to stay on as his party's head even after 
his state-funded secretary had been indicted over political 
donations from a construction company. A total of 22 PERCENT  of the 
respondents said they agreed with his decision. Respondents were 
also asked whether they thought Prime Minister Aso or Ozawa was more 
appropriate to be premier. In response, 32 PERCENT  chose Aso, with 
23 PERCENT  preferring Ozawa. Aso also outstripped Ozawa in the last 
survey taken March 6-8. In the public's preference of political 
parties for proportional representation in the next election for the 
House of Representatives as well, the DPJ tallied 31 PERCENT , down 
3 points from the last survey, while the Liberal Democratic Party 
caught up with the DPJ to also log 31 PERCENT , up 7 points. 
 
TOKYO 00000691  002 OF 009 
 
 
 
Ozawa has recently clarified his intention to stay on as DPJ 
president. However, the poll shows the public casting a severe eye 
on his decision. This will likely spur moves in the DPJ to "dump 
Ozawa." 
 
Ozawa's publicly-paid secretary has now been indicted for allegedly 
violating the Political Funds Control Law over a construction 
contractor's payoffs to Ozawa's fund-managing body. In the survey, 
respondents were asked if they thought Ozawa has fulfilled his 
accountability on this incident. To this question, a total of 84 
PERCENT  answered "no," with only 26 PERCENT  saying "yes." 
 
In popularity ranking for prime minister, Aso topped Ozawa (32 
PERCENT  to 23 PERCENT ) for the first time since the question was 
first asked in November 2008. In the survey this time, respondents 
were asked who they thought was appropriate to become DPJ president. 
In the breakdown of their answers to this question, DPJ Vice 
President Katsuya Okada topped all others, tallying 19 PERCENT . 
Ozawa was at 9 PERCENT , ranking fifth. DPJ Deputy President Kan was 
at 17 PERCENT , DPJ Vice President Seiji Maehara 16 PERCENT , and 
DPJ Secretary General Hatoyama 13 PERCENT . 
 
Cabinet support rebounds to 23 PERCENT 
 
In the spot poll, the Aso cabinet's support rate increased to 23.2 
PERCENT  (from 17.4 PERCENT  in the last survey) and its nonsupport 
rate decreased to 64.5 PERCENT  (from 74.8 PERCENT  in the last 
survey). In the breakdown of public support for political parties, 
the LDP stood at 31.0 PERCENT  (24.1 PERCENT  in the last survey), 
with the DPJ at 21.2 PERCENT  (23.8 PERCENT  in the last survey). 
The proportion of floating voters with no particular party 
affiliation was 36.9 PERCENT  (42.6 PERCENT  in the last survey). 
 
2) Poll: 66 PERCENT  urge Ozawa to quit party post 
 
TOKYO SHIMBUN (Top play) (Abridged) 
March 27, 2009 
 
In a recent telephone-based Kyodo News spot poll taken across the 
nation on March 25-26, a total of 66.6 PERCENT  answered that 
Democratic Party of Japan (Minshuto) President Ichiro Ozawa should 
resign from his party post, with 28.9 PERCENT  backing him. Ozawa 
has clarified his intention to stay on even after his state-funded 
secretary has been indicted over Nishimatsu Construction Co.'s huge 
illicit payoffs to Ozawa's fund-managing body. 
 
In the survey, respondents were also asked if Ozawa's account on the 
incident was convincing. To this question, negative answers added up 
to 79 PERCENT , with affirmative ones accounting for only 12.0 
PERCENT . 
 
The public approval rating for the Aso cabinet was 23.7 PERCENT , up 
7.7 points from the last survey taken March 7-8. The disapproval 
rating was 63.5 PERCENT , down 7.3 points. 
 
When it comes to popularity ranking for premiership, Ozawa was above 
Aso in the previous surveys from the one taken in December last year 
to the last survey. In the survey this time, Ozawa was at 31.2 
PERCENT , down 2.4 points from the last survey. Prime Minister Taro 
Aso scored 33.1 PERCENT , up 7.5 points. Aso again outstripped 
Ozawa. 
 
TOKYO 00000691  003 OF 009 
 
 
 
Asked about the desirable form of government, 44.2 PERCENT 
preferred a "DPJ-led coalition," with 36.6 PERCENT  choosing an 
"LDP-led coalition." The gap has shrunken from the last survey, but 
the DPJ was above the ruling Liberal Democratic Party in the 
public's preference of a coalition government. In the public's 
preference of political parties for proportional representation in 
the next election for the House of Representatives as well, the DPJ 
stood at 34.1 PERCENT , with the LDP at 30.5 PERCENT . Basically, it 
may safely be said that the DPJ remains above the LDP even in the 
aftermath of the incident this time. 
 
In the breakdown of public support for political parties, the LDP 
tallied 29.7 PERCENT , with the DPJ at 28.4 PERCENT . The New 
Komeito, the LDP's coalition partner, was at 2.7 PERCENT . Among 
other parties, the Japanese Communist Party was at 1.5 PERCENT , the 
Social Democratic Party at 2.2 PERCENT , the People's New Party at 
0.9 PERCENT , the Reform Club at 0.2 PERCENT , the New Party Nippon 
at 0.1 PERCENT , and "none" at 32.1 PERCENT . 
 
3) Calls for Ozawa's resignation spreading in DPJ 
 
YOMIURI (Page 1) (Full) 
March 27, 2009 
 
Democratic Party of Japan (DPJ) President Ichiro Ozawa will attend 
today a meeting of the DPJ House of Councillors members and a 
meeting of the party's House of Representatives members to seek 
support on his decision to continue serving as party leader. 
However, since the result of a nationwide survey conducted by the 
Yomiuri Shimbun indicates more than 60 percent of the respondents 
are not satisfied with his decision to remain in his post, concerns 
that Ozawa's continued leadership could negatively affect the party 
in the next Lower House election are spreading in the main 
opposition party. Calls for Ozawa to voluntarily quit his post are 
growing, which could press him to reconsider his decision. 
 
Ozawa met yesterday with DPJ Secretary General Yukio Hatoyama at 
party headquarters and discussed what to do next. Ozawa told 
Hatoyama: "I'm sorry; I will explain my decision again." Hatoyama 
then replied: "I assume that various opinions will be raised, but I 
would like you to listen to them carefully. I'll bring people around 
in the end." He said that he would work on winning back the support 
of party members. 
 
The meeting of the DPJ Upper House members is expected to run for 
about 30 minutes and the meeting of Lower House members, for about 
40 minutes. The two meetings will take place in the Diet building 
ahead of plenary sessions of both chambers of the Diet. Giving 
considerations to the view that the meetings won't be concluded for 
a short time, the party leadership is looking into the possibility 
of extending the meetings. 
 
In addition to lawmakers close to former President Seiji Maehara, 
who has distanced himself from Ozawa, junior and mid-level DPJ 
members are now calling for Ozawa's exit. Referring to the results 
of the Yomiuri poll, Maehara yesterday said: "I think Mr. Ozawa will 
judge based on consideration of various matters," indicating that 
Ozawa's voluntarily resignation as party leader is desirable. 
 
Among those expressing their understanding for Ozawa's bid to stay 
on in his post, the view has been raised that Ozawa should fulfill 
 
TOKYO 00000691  004 OF 009 
 
 
his accountability. The outlook is that if DPJ lawmakers take that 
Ozawa's explanation today is insufficient, Ozawa is certain to find 
it difficult to manage the party. 
 
4) Nishimatsu gave 6 million yen to Nikai office, disguising the 
money as individual donations 
 
ASAHI (Page 1) (Slightly abridged) 
March 27, 2009 
 
Nishimatsu Construction Co., a second-tier general contractor, made 
donations worth 6 million yen to a political group represented by 
Economy, Trade and Industry Minister Toshihiro Nikai in 2006 and 
2007, disguising the money as individual donations, according to 
sources related to Nishimatsu. 
 
It has also been revealed that a consultant firm in Tokyo, in which 
a former Nishimatsu executive serves as president, had bought a 
condominium unit in Osaka for a Nikai-related political group and 
later rented it to the organization. It is now suspected that 
Nishimatsu had made monetary gifts in various forms to the Nikai 
side in anticipation of its favor. 
 
The Political Funds Control Law prohibits donations under other 
people's names. The donations by Nishimatsu to Nikai, disguising 
them as individual ones, might be in violation of the said law. 
 
The Liberal Democratic Party's Wakayama Constituency No.3 chapter, 
represented by Nikai, entered a total of 3 million yen in 2006 and 
2007 in its political fund reports' individual donations section. 
According to Nishimatsu-related sources, the company used about 60 
employees' names and falsely recorded 50,000 yen from each employee 
every year. The law does not require a political office to enter the 
name of a donator if the amount is less than 50,000 yen. 
 
The consultant firm in Tokyo purchased a condominium unit in Osaka 
in 1999. Later, the firm rented the condo to the Nikai-related 
organization, Kansai Shinpu-kai (Kansai New Wind Association), at an 
annual rent of nearly 3 million yen up until February. Kansai 
Shinpu-kai is effectively operated by Nikai's younger brother. The 
unit intended for a family reportedly was remodeled to be used as an 
office. 
 
Furthermore, it has been unveiled that Nishimatsu paid 8.38 million 
yen for tickets for parties held by the LDP Nikai faction (headed by 
Nikai) between 2004 and 2006 through two dummy political groups 
headed by an ex-Nishimatsu executive. 
 
Nikai commented yesterday regarding the donations disguised as 
individual ones and the office rental problem: "We do not have such 
a perception. I recognize that each political organization has 
provided political-funding records correctly in compliance with the 
Political Funds Control Law." 
 
5) Condo renter contacted Nishimatsu when Nikai office fell behind 
with rent payments 
 
MAINICHI (Page 1) (Excerpts) 
March 27, 2009 
 
Nishimatsu Construction Co., a second-tier general contractor based 
in Minato-ward, Tokyo, allegedly covered rental charges for the 
 
TOKYO 00000691  005 OF 009 
 
 
political organization related to Economy, Trade and Industry 
Minister Toshihiro Nikai in Osaka, Kansai Shinpu-kai. According to 
informed sources, a design company in Tokyo, which was renting out a 
condominium unit to the Nikai-related organization, contacted 
Nishimatsu's general affairs department when the Nikai office's rent 
payments fell behind. In response, Nishimatsu allegedly covered the 
rent by providing the Liberal Democratic Party's Wakayama 
Constituency No.3 chapter, represented by Nikai, with money 
disguised as individual donations, using employees' names. It has 
also been revealed through questioning persons concerned that 
Nishimatsu covered the total cost of approximately 40 million paid 
by the design firm for the purchase and reform of the condo unit. It 
is now alleged that Nishimatsu was providing Kansai Shinpu-kai with 
financial aid to cover its office expenses. 
 
According to informed sources, when Kansai Shinpu-kai's rent 
payments were in arrears in 2006, the design firm informed 
Nishimatsu's then general affairs department chief of the delay in 
payments. After examining the situation, the general affairs 
department found that the company had not sent money to the Wakayama 
Constituency No.3 chapter for two years. Upon contacting a person 
concerned on the Nikai side, the department chief sent 3 million yen 
each in 2007 and 2008, disguising the money as 60 employees' 
donations. 
 
6) Senior Vice Finance Minister Hirata quits over shady stock sale 
 
MAINICHI (Top Play) (Excerpts) 
March 27, 2009 
 
Senior Vice Finance Minister Koichi Hirata on March 26 resigned, 
taking the responsibility of selling his stocks in violation of an 
ethics code for ministers, which bans stock trading by politically 
appointed ministers. Hirata held a press conference at the Finance 
Ministry the same evening. He said, "If Diet deliberations come to a 
standstill, it would cause great trouble for the people." He 
underscored that the reason for his resignation was to prevent Diet 
deliberations on such issues as bills related to the fiscal 2009 
budget from being thrown into turmoil. Concerning the ethics code 
for ministers, he noted, "I have made no profits or losses in the 
stock trading. In my view, it is delicate whether my action has 
infringed on the ethics code." 
 
Finance Minister Shoichi Nakagawa in mid-February resigned after the 
meeting of finance ministers and central bank governors from the 
Group of Seven Nations (G-7). Hirata's resignation will likely deal 
a blow to the Aso administration. Prime Minister Taro Aso told 
reporters on the evening of the 26th, "The stock sale took place 
after the appointment of Hirata. If you ask his responsibility, I am 
responsible for the matter, as it is I who appointed him." 
 
Hirata on March 2 sold 1.12 million stocks amounting to 8.68 PERCENT 
 of the total outstanding shares of Chiyoda Ute (listed on the 
Jasdaq stock market), based in Yokkaichi, Mie Prefecture, for 550 
yen per share, a price nearly double its market value (290 yen per 
share), to Zero System, an oil wholesaler, which he himself actually 
owns. Chiyoda Ute was founded by Hirata's father. He himself once 
served as president of the company. The sales amount is 616 million 
yen. The profits are about 300 million yen larger than the amount 
that would have been made by selling them on the market. This will 
likely draw criticism that the trading was nontransparent. 
 
 
TOKYO 00000691  006 OF 009 
 
 
The government in 2001 compiled the ethics code that calls on 
ministers, vice ministers and parliamentary secretaries to 
self-refrain from stock trading. Hirata's case infringes on the 
code. 
 
Hirata during the press conference revealed that the Cabinet 
Secretariat in November or December last year pointed out that he 
had yet to entrust his stocks and stock sale could infringe on the 
ethics code for ministers, but he sold his stock without making 
inquiries about the specifics. He said that he does not feel guilty 
about the stock sale itself. 
 
7) Bargaining over Lower House dissolution rekindling in LDP 
 
MAINICHI (Page 5) (Excerpts) 
March 27, 2009 
 
While the main opposition Democratic Party of Japan (DPJ) is in 
disarray due to President Ichiro Ozawa's announcement that he will 
remain in his post, a tug-of-war flared up again in the ruling 
Liberal Democratic Party (LDP) over the timing of dissolution of the 
House of Representatives and the general election that would follow. 
In a meeting yesterday of his faction, LDP Election Strategy Council 
Chairman Makoto Koga mentioned the possibility of an early 
dissolution of the Lower House, noting: "We should feel the tension 
in May." On the other hand, former Chief Cabinet Secretary Nobutaka 
Machimura, who also heads a faction in the LDP, took a cautious 
stance toward early dissolution. "Unless we first implement policy 
measures to help support the livelihoods of the people, the Lower 
House should not be dissolved." 
 
Referring in the regular meeting yesterday to a supplementary budget 
for fiscal 2009 that would include another economic stimulus 
package, Koga stressed: "The timing of the submission and enactment 
of the extra budget to the Diet is crucial for the political 
situation." He asserted that the Lower House should be dissolved 
only after the extra budget for fiscal 2009 clears the Diet. 
 
Taku Yamasaki, former LDP vice president, appearing yesterday on a 
BS11 digital news show, took the view that the Lower House should be 
dissolved before the supplementary budget clears the Diet. He said: 
"By showing the general framework of additional economic stimulus 
measures, the extra budget should be a campaign issue for the next 
Lower House election." 
 
With the illicit donations scandal involving Nishimatsu Construction 
Co. in mind, Yamasaki said: "Since (national politics) has reached 
an impasse, a vote of national confidence should be sought." 
 
Meanwhile, the illegal donations scandal has left the DPJ shocked 
and shaken, and criticism of Ozawa is rising in the party. The 
outlook is that the fiscal 2009 budget and related bills will clear 
the Diet today as the government and ruling coalition had expected. 
The largest opposition party's blunder and a sense of respite in the 
Diet schedule have prompted calls for an early Lower House 
dissolution in the LDP. 
 
In a meeting yesterday of his faction, Machimura pointed out: 
"Giving consideration to the present economic situation, it is not 
good that the Lower House will be dissolved, just to show the public 
a blueprint (the extra budget)." Asked by reporters about the 
possibility of the Lower House being dissolved in May, Machimura 
 
TOKYO 00000691  007 OF 009 
 
 
took a cautious stance, saying: "(With the Tokyo Metropolitan 
Assembly election coming up in July) the New Komeito will probably 
not accept such an idea. It is necessary to give consideration to 
our partner (in the coalition government)." 
 
8) Fiscal 2009 budget to clear Diet today 
 
NIKKEI (Page 2) (Full) 
March 27, 2009 
 
The fiscal 2009 budget bill and four related bills, now being 
deliberated in the House of Councillors, will be enacted today. 
These bills will be rejected in the opposition-controlled Upper 
House the same day, but the fiscal 2009 budget bill will be enacted 
into law after deliberations by a joint committee of both Houses, 
based on a constitutional rule of a decision in the House of 
Representatives taking precedence over an Upper House decision. The 
related bills will be brought back into the Lower House and there be 
enacted by an override vote. 
 
After the bills pass the Diet, the government and the ruling parties 
intend to work out additional economic measures. 
 
The fiscal 2009 budget totals 88.548 trillion yen, which includes a 
record high of 51.731 trillion yen in general expenditures. Outlays 
for job-increase measures amounting to 500 are incorporated in it. 
One of the four related bills is a tax reform bill-related bill, 
which include a policy of raising the consumption tax in fiscal 2011 
in an additional clause. 
 
9) Additional economic stimulus package drafted by ruling camp: 2 
trillion yen for solar energy generation; Subsidies for raising 
salaries of caregivers 
 
SANKEI (Top Play) (Excerpts) 
March 27, 2009 
 
A large-scale additional economic stimulus package draft, which the 
government and the ruling parties will finalize in April, was 
revealed on March 26. The draft includes the installation of solar 
energy generation panels at public elementary, middle and high 
schools and government and other public offices throughout the 
nation. It also includes providing subsidies for raising salaries of 
caregivers for three years with the aim of reducing out-of-pocket 
medical costs and improving caregivers' working conditions. The 
government and the ruling parties intend to speed up efforts to 
secure Diet approval for the package, by compiling a fiscal 2009 
extra budget for measures that do not require legal amendments and 
therefore can be implemented immediately. 
 
The government intends to make the envisaged package large in order 
to address the worsening economy. The package will be implemented 
over the next three years. The draft report notes that employment 
will be secured and the economy will be shored up with investment in 
the environment, strengthened social security, implementation of 
public works earlier than scheduled and an expanded financial and 
tax systems. 
 
In the environment area, approximately 2 trillion yen will be 
disbursed for the promotion of the installation of solar energy 
generation panels at public schools and government and other public 
offices. The breakdown is: 400 billion yen for the installation of 
 
TOKYO 00000691  008 OF 009 
 
 
such panels at public elementary, middle and high schools that have 
completed anti-quake works; 1.1 trillion yen for government and 
other public offices; and 880 billion yen for public housing. 
 
In order to allay anxieties people are feeling about the medical 
system, over-the-counter payments of medical fees will be reviewed 
with a budget between 500 billion yen and 600 billion yen a year. 
The government is also looking into establishing an additional basic 
pension system (tentative name) in response to the New Komeito's 
call for an increase in the basic pension payment as a measure to 
deal with low income earners. National pension worth 66,000 yen is 
currently paid to households whose annual income is less than 2 
million yen. A plan to raise the amount to 80,000 yen, which is more 
than welfare benefits, has been floated. 
 
As measures related to public works, works to make elementary and 
middle school buildings throughout the nation quake-resistant will 
be implemented earlier than scheduled. An increase in the 
installation of air conditioners and in-school LAN system will also 
be incorporated. 
 
10) Government to disburse 1.6 trillion yen for trade financing to 
boost export and import insurance related to developing countries 
 
TOKYO SHIMBUN (Page 3) (Full) 
March 27, 2009 
 
The government on March 26 decided to extend financial assistance 
topping 1.6 trillion yen over the next two years with a focus on 
expanding insurance underwriting by Nippon Export and Investment 
Insurance. The aim is to prevent a decline in trade between Japanese 
companies and emerging countries or developing countries. Prime 
Minister Taro Aso will announce the plan at the G-20 financial 
summit to be held in London on April 2. Developing countries, which 
have suffered a serious setback from the financial crisis, are 
finding it difficult to secure funds needed for exporting and 
importing goods. The government intends to speed up procedures for 
expanding financial assistance. 
 
Trade financing is an arrangement under which financial institutions 
lend funds necessary for foreign trade settlement to trading 
companies. Vitalizing trade financing will likely be on the agenda 
of the financial summit. 
 
Nippon Export and Investment Insurance, an independent 
administrative agency, underwrites insurance policies necessary for 
trade transactions by private companies. 
 
Under the envisaged assistance package, which targets Japanese 
companies, insurance underwriting in readiness for failure in 
payments for exported goods will be expanded. Assistance will also 
be provided for the management of cash flows using liquidation of 
receivables. The government along with the Japan Bank for 
International Cooperation (JBIC) will also provide insurance to 
Japanese banks that extended loans to financial institutions in 
developing countries. 
 
Assistance for trade financing to be provided by the Japanese 
government will top 2 trillion yen over two years, when combined 
with other assistance measures using the JBIC, which have already 
been announced. 
 
 
TOKYO 00000691  009 OF 009 
 
 
The World Bank estimates that a shortage of trade-related funds 
throughout the world is 200 billion dollars or approximately 20 
trillion yen at the most. 
 
11) Missile debris could cause damage 
 
ASAHI (Page 4) (Full) 
March 27, 2009 
 
Defense Minister Hamada, sitting in yesterday on the House of 
Councillors Budget Committee, indicated that if the Patriot Advanced 
Capability 3 (PAC-3), a land-based ground-to-air guided missile, 
intercepted a missile launched by North Korea, its debris could fall 
to the ground and cause damage. He stated: "If we hit a projectile 
in outer space, it will almost completely burn up and will not fall, 
but I cannot tell whether we will be affected if something destroyed 
in the sky over our area were to fall." 
 
12) Difficult to hit a bullet fired by a pistol: Konoike 
 
MAINICHI (Page 5) (Full) 
March 27, 2009 
 
Asked about Japan's missile defense (MD) shield against North Korean 
long-range ballistic missiles in a House of Councillors Budget 
Committee session yesterday, Deputy Chief Cabinet Secretary 
Yoshitada Konoike stated: "It is extremely difficult to hit a bullet 
fired by a pistol." He took a view similar to the one taken by a 
high-level official on March 23. That official remarked: "If you 
shoot a gun and then shoot at the bullet with another gun, you won't 
hit it. Once (a missile) is shot, it is impossible to hit it." 
("Teppou wo uttekita no wo, teppou de utte mo, ataranai. (Misairu 
wo) uttekitara ataru wake ga nai.") 
 
Social Democratic Party Chairperson Mizuho Fukushima asked Konoike: 
"What do you think of the view that it is impossible to hit a bullet 
fired by a pistol by firing at it with another pistol?" Konoike 
first avoided answering the question, saying: "I'm not in a position 
to answer your question here." Mizuho then pressed on, asking him 
again: "Have you ever made this kind of remark?" The deputy chief 
cabinet secretary finally just said: "I think it would be 
difficult." 
 
POST