Japan mulls 100,000 yen cash handout for children aged 18 or younger


The Japanese government and ruling coalition have decided to provide a part cash and part coupon payment of 100,000 yen to all under 18s as part of an economic stimulus package in order to aid recovery from the pandemic. Japan's PM Kishida has stated that a "large-scale" stimulus package will be put together in November. The economic stimulus package is expected to be completed by November 19th, with a value anticipated to be in the tens of trillions of yen.

The government and ruling parties hope to pass a supplemental budget for the current fiscal year, which includes funds for the package, by the end of December. The cash payment was a campaign pledge made by Komeito, Japan's junior coalition partner.

Some question how effective the handouts will be in stimulating the economy. When the government gave the same amount to all residents in Japan in April 2020, most chose to save rather than spend, resulting in little economic stimulus.