Japan to gradually reduce fuel subsidies from December

Japan plans to gradually reduce subsidies for gasoline and other fuels from December, Prime Minister Sanae Takaichi said.

Report informs, citing Kyodo, that the target retail gasoline price will increase by 5 yen per liter each month from December through next spring.

The government currently keeps the retail price at around 170 yen ($1.08) per liter, but the measures cost the budget more than 10 billion yen ($63.3 million) a day.

Takaichi said the government would also subsidize electricity and gas bills this winter, as it did last year. An average household is expected to save approximately 7,000 yen ($44) over the three months beginning in December.