Japan PM orders $26 billion to be set aside for childcare, tad more than expected

FILE PHOTO-Japan's Minister for Economic Revitalisation Shigeyuki Goto speaks during an interview with Reuters in Tokyo, Japan May 2, 2023. REUTERS/Issei Kato

TOKYO (Reuters) -Japanese Prime Minister Fumio Kishida instructed his government on Wednesday to set aside around 3.5 trillion yen ($26 billion) in the annual budget for child care, Economy Minister Shigeyuki Goto said, which was slightly more than previously estimated.

Kishida has vowed to double childcare spending over the next three years in a bid to help reverse the country's dwindling birth rate. The government had previously estimated that it needed to secure around 3 trillion yen per year to cover the expansion of childcare allowances and other related benefits.