Japan Commits $19.4 Billion to Fighting Its Energy Crisis

AI Summary

Japan has approved a $19.4 billion package to address its energy crisis caused by Middle East export disruptions. The plan includes a $16 billion fund for controlling energy commodity prices through subsidies, notably capping gasoline prices.

Japan will spend an additional $19.4 billion to cushion the inflation blow to Japanese households resulting from the oil and gas export flow disruption in the Middle East. The package, approved by Prime Minister Sanae Takaichi this week, includes a $16-billion reserve fund specifically created for controlling energy commodity prices through additional subsidies, Bloomberg reported. The publication added that the fund will first be used to cap the price of gasoline at the pump. Reuters reported that the money for the additional budget would come…