EconomyJapan’s record defense spending plan piles pressure on FY 2027 budget

Japan’s fiscal 2027 budget requests are expected to exceed 130 trillion yen, driven by a record defense request of about 8.9 trillion yen. The plans include interceptor drones, AI for command-and-control systems and more long-range missiles with “counterstrike capabilities.” Social security spending is also set to rise. The scale could leave a roughly 50-trillion-yen gap, requiring new debt as higher bond yields raise debt-servicing costs.

Japan budgetdefense spendingpublic debt

CCGTN★★★☆☆2026-08-22 10:54Original