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Japan offers to increase host nation support to almost $2 billion annually

  • December 8, 2021
  • , Yomiuri, Nikkei
  • JMH Summary

Nikkei wrote that the GOJ has proposed to the United States during their working-level negotiations that began in late November increasing Japan’s share of the cost of stationing U.S. forces in the country to around 210 billion yen to 220 billion yen ($1.85 billion to $1.97 billion) a year from the current 201.7 billion yen ($1.78 billion). The paper wrote that the two governments will continue their discussions with the aim of reaching an agreement on a new five-year deal by the end of this year so that Japan can incorporate the cost in its draft budget for fiscal 2022.

 

The paper speculated that the United States called on Japan to increase its share of the cost to around 250 billion yen ($2.2 billion). While expressing its readiness to meet the U.S. request to some extent, Tokyo reportedly asked Washington to transform the spending from what is referred to as a “consideration budget” into a budget for strengthening the alliance by bolstering the two nations’ joint response and deterrence capabilities as opposed to the traditional arrangement of Japan paying for electricity bills and local staff’s wages, and eventually agreed to add 10 to 20 billion yen ($88 million to $176 million) to its share. The daily conjectured that the GOJ made the decision based on the view that it will be difficult to win the public’s understanding for spending more for utilities and made a proposal that would satisfy both the U.S. request for greater funding and domestic sentiments in Japan by focusing on strengthening U.S.-Japan security cooperation.

 

Yomiuri wrote that it has learned from multiple GOJ sources that the governments of the United States and Japan have broadly agreed that the GOJ will increase the total share of its cost to station U.S. forces in Japan to more than 1 trillion yen ($8.8 billion) for five years from fiscal 2022 to 2026, up 50 billion yen ($440 million) from the amount spent in fiscal 2016 through 2020.

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