Tokyo, Dec. 3.
Stocks bounded upward by ¥.1 to 'Y¥2 on a wide front yesterday following the official announcement of the 1099-40 budget. This was attributed to confidence which followed indica tions that there would be no further. increase in taxation.
Next year's budget totalling '¥.3,604,000,000 was compiled with a view to concentrating national re-Sources to carry on Japan's military operations in China successfully, Mr. Scihin Theda, Finance Minister, declared yesterday after the figures were approved by the Cabinet, Eeonomy was the guiding principle planning expenditures, he said, while scrupulous attention was paid the necessity of effecting a re-justment of supply and demand in relation to materials, funds and Tabour, as well as checking an increase' in payments abroad, Details Explained Mr, Tkeda went to the Palace yesterday to submit a report on the budget {o Emperor Hirohito, Parliamentary procedure in Japan required the budget to be approved by the Diet without modification, Funds conserved by various government departments were appropriated for undertakings vitally necessary in connection with the hostile ties, Mr. Tkeda stated, New appropriations approved me eluded those {0 ald families of soldiers, promote foreign trade, pand the productive capacity of industries, develop civil aviation, carry out river conservancy projects and encourage horse breeding.
The Finance Minister pointed out Ahat revenue from taxes totals about '¥.2,060,000,000, an increase of ¥.204.- (000,000 over the working budget. This was seen by Mr. Tkeda indication of the "strength and expansion of Japan's economic resources."
'A reduction of ¥.23,000,000 was effected in next year's naval estimates, which total ¥.653.942,702, S) spokesman of the Navy Omice said. Stringent economy was enforced, he stated, although new appropriations were made for equipment and maintenance of new warships.
Basle naval estimates for next J; year total ¥.592,768408 and requests, for new appropriations amounted to
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