Japan set to meet 2% defense target, but future hikes uncertain

To keep the 43 trillion yen outlay on track, the government has approved hikes in income, corporate and tobacco taxes, despite its debt burden topping 1,300 trillion yen -- more than twice the size of the economy. The LDP's junior coalition partner, Komeito, along with opposition forces -- the Democratic Party for the People, Sanseito and the Conservative Party of Japan -- have made no clear reference to how the increased defense budget would be funded. If the political leader has a solid foundation, the ministry in charge of the national budget would have no choice but to cooperate, Ogi said, adding prospects for future defense spending "depend on whether the Prime Minister's Office is strong or not."