Japan's PM Takaichi says would like to achieve two-year suspension of 8% tax on food at the earliest date possible and submit relevant legislation in the fiscal 2026 diet.

Japan's PM Takaichi says would like to achieve two-year suspension of 8% tax on food at the earliest date possible and submit relevant legislation in the fiscal 2026 diet.

Japan's PM Takaichi's proposal for a two-year suspension of the 8% tax on food signals a proactive approach to ease the cost of living, aiming to support consumers amid inflationary pressures. This legislation, to be submitted for fiscal 2026, could bolster domestic demand and positively impact consumer sentiment, though the timeline suggests it may not provide immediate relief. The market might watch for broader implications on fiscal policy and spending patterns as the plan progresses.