The Japan External Trade Organization New York (JETRO NY) released a newsletter today highlighting Prime Minister Koizumi's visit to the U.S. this week. It can be viewed at:

http://www.jetro.org/newyork/focusnewsletter/focus17.html

Condolences will be offered to the victims of terrorist attacks. Following a tour of the demolished World Trade Towers, the Prime Minister will travel to Washington for talks with President Bush on global terrorism and economic issues.

-- Japan's Intention to Combat Global Terrorism

Japan will promptly take measures to dispatch its Self-Defense Force to provide support, including medical services, transportation and supplies.

-- Japan's Intention to Accelerate Economic Growth and Reform

The unsettling effect of September 11th requires that Japan redouble its efforts to alleviate growing pressure on weakening global markets.

Japan Moves to Adopt Advanced-Reform Program

-- Actions to Enhance Reforms of Securities Markets and Disposal of Non-Performing Loans

The problem of non-performing loans will be given top priority to help resolve this serious issue in three years.

- Structural Reform of Securities Markets

This will include the development of highly transparent markets and other systemic measures, including tax reform.

- Enhancing Bank Inspections and the Rapid Disposal of Non-performing Loans

Japan's Financial Services Agency will now conduct inspections of major banks every year and follow-up reviews every six months. Japan's Resolution Collection Corporation will intensify procurements to resolve existing NPLs by the end of FY2002 and new NPLs the following year. Proposals are being considered to allow the RCC to expand procurements beyond failed and effectively failed loans. The RCC will also use debt/equity swaps to allow firms to write off debt. Shares will be placed into a fund established in cooperation with the Development Bank of Japan and private investors.

- Actions to Promote Institutional and Regulatory Reform

Measures will be taken to enhance activity in information technology and consumer-oriented and social services.

- Actions to Strengthen Social Safety Nets for Employees and Small and Medium Businesses

Efforts will be made to create new job opportunities and stronger social safety nets. Support will be provided to encourage the competitiveness of small and medium businesses.

- Actions to Enact Urgent Measures to Accelerate Structural Reform

Initiatives will be implemented to realize electronic government, information infrastructure in schools, eliminate waiting list for nursery schools and improve waste disposal.

-- Japan Announces Priority Reform Schedule

The Council on Economic and Fiscal Policy adopted a schedule on September 21st to implement reform priorities within the current fiscal year.

-- Japan's Desire to Strengthen U.S.-Japan Partnership for Growth

Recognizing the growing interdependence of the U.S. and Japanese economies, a Partnership for Growth was established last summer. While initial meetings have been delayed due to the unsettling events of the past month, it is expected to move forward shortly. This will strengthen Japan-U.S. efforts to effectively handle the serious problems facing our economies.

Focus is published and disseminated by JETRO New York, 1221 Avenue of the Americas, New York, NY 10020 in coordination with KWR International, Inc. 140 West End Avenue, New York, NY 10023 Tel: 212-532-3005, Fax: 212-799-0517, E-mail: kwrintl@kwrintl.com. JETRO New York is registered as an agent of the Japan External Trade Organization, Tokyo, Japan and KWR International, Inc. is registered on behalf of JETRO New York. This material is filed with the Department of Justice where the required registration statement is available for public viewing.

CONTACT: JETRO NY
Satoshi Miyamoto, 212/997-0416
Executive Director
Fax: 212/997-0464
E-mail: miyamotosatoshi@jetro.go.jp