TOKYO -- In addition to driving up energy prices, the yen's slide against the dollar is also adding pressure on Japan's government budget, increasing foreign-currency payments on defense equipment and other items by 157.4 billion yen ($1.08 billion) from initial estimates.
Japan's initial budget for fiscal 2022 budget included over 900 billion yen in foreign payments, equivalent to just under 1% of the 107 trillion-yen total. These include purchases of defense equipment, contributions to international organizations and official development assistance, with the defense and foreign ministries accounting for 90% of the total.
