Japanese Finance Minister Satsuki Katayama has emphasized the government's commitment to responsible fiscal management, stating that the administration intends to limit its reliance on new debt to fund a potential extra budget. This announcement comes as discussions around economic stimulus measures are underway in response to ongoing economic challenges.

While the government is considering an additional budget to support growth, officials are mindful of the nation's already substantial debt burden. Japan has one of the highest debt-to-GDP ratios in the world, making fiscal discipline a key priority for the government. The Finance Ministry is reportedly exploring various funding options, including examining existing reserves and streamlining spending, to minimize the need for increased borrowing.

Details regarding the size and composition of the extra budget are still being finalized. The specifics of how the extra budget, if approved, will be financed remain to be seen. However, the Finance Minister's statement signals a commitment to avoiding excessive debt issuance, which aligns with broader efforts to ensure long-term fiscal sustainability and maintain investor confidence. The government's approach will be closely watched by financial markets and international observers alike.