People demonstrate against state of emergency as Japan's Prime Minister, Yoshihide Suga, is displayed on a giant television screen on January 7 2021 in Tokyo, Japan. Picture: GETTY IMAGES/YUICHI YAMAZAKI
Japan’s emergency doesn’t imply the kind of lockdowns seen in some parts of Europe, and the government is seeking far less stringent measures than under its previous emergency last year, which triggered the worst economic contraction on record. Suga announced subsidies of up to ¥1.8m a month for eateries that comply with rules on shortened hours.
“This increases the possibility of an economic contraction,” economist Yoshimasa Maruyama at SMBC Nikko Securities said of the emergency. “Suga wanted to wait until after the New Year’s holiday to make the declaration and that has put him behind the curve to limit the spread of the virus.”
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