|Total abolition of tied grants
We will totally abolish the ¥18 trillion in tied grants distributed by central government to the regions within four years, partly by transferring the source of tax revenues to the regions and partly by establishing lump-sum grants. Furthermore, within five years we will abolish lump-sum grants and transfer all of the responsibility for funding to the regions.
Restriction of remittances to North Korea
We will establish the necessary legal provisions to make it possible to restrict remittances to North Korea.
Promotion of FTAs
In order both to improve self-sufficiency in foodstuffs and to promote FTAs, we will expand direct assistance to farmers, creating a competitive agricultural industry that is not reliant on high tariffs.
Sources of revenue for making motorways toll-free
Presently, road revenues from petrol tax and the like for central and local government combined amount to some ¥9 trillion annually. We will use ¥2 trillion of this amount to repay part of the ¥40 trillion in debt held by the Japan Highway Public Corporation. The remaining ¥7 trillion is a sum that is more than the total road revenues for the UK, Germany and France combined, and if utilized efficiently can be used not only for road maintenance and management and construction of ordinary roads, but also for the construction of truly essential motorways.
We will establish a two-tier pension system, consisting of a basic pension funded by consumption tax revenues, and a portion determined according to income, within four years. We will raise pension levels from the current level of 50% of income to 55% of income. We will ensure that premiums, including employer contributions, for the income-based portion of the pension are no more than 20% of income.