Ministry of Finance (Japan)
Encyclopedia
Cabinet (government)
A Cabinet is a body of high ranking government officials, typically representing the executive branch. It can also sometimes be referred to as the Council of Ministers, an Executive Council, or an Executive Committee.- Overview :...
-level ministries of the Japanese government
Government of Japan
The government of Japan is a constitutional monarchy where the power of the Emperor is very limited. As a ceremonial figurehead, he is defined by the 1947 constitution as "the symbol of the state and of the unity of the people". Power is held chiefly by the Prime Minister of Japan and other elected...
. The ministry was once named Ōkura-shō (大蔵省). The Ministry is headed by the Minister of Finance
Minister of Finance (Japan)
The is the member of the Cabinet of Japan in charge of the Ministry of Finance. This position was formerly cited as being Japan's most powerful and one of the world's, because Japan had historically held the largest foreign exchange reserves...
(Zaimu-daijin; 財務大臣), who is a member of the Cabinet and is typically chosen from members of the Diet
Diet of Japan
The is Japan's bicameral legislature. It is composed of a lower house, called the House of Representatives, and an upper house, called the House of Councillors. Both houses of the Diet are directly elected under a parallel voting system. In addition to passing laws, the Diet is formally...
by the Prime Minister
Prime Minister of Japan
The is the head of government of Japan. He is appointed by the Emperor of Japan after being designated by the Diet from among its members, and must enjoy the confidence of the House of Representatives to remain in office...
.
The Ministry's origin was back in the 6th century, when Ōkura (大蔵) was established as a state treasury
Ministry of the Treasury (Ritsuryō)
The was a division of the eighth century Japanese government of the Imperial Court in Kyoto, instituted in the Asuka period and formalized during the Heian period. The Ministry was replaced in the Meiji period. -Overview:...
in ancient Japan. When a modern system of government was introduced after the Meiji Restoration
Meiji Restoration
The , also known as the Meiji Ishin, Revolution, Reform or Renewal, was a chain of events that restored imperial rule to Japan in 1868...
, the Ministry of Finance (大蔵省; Ōkura-shō) was established as a government body in charge of public finance and monetary affairs. It is said that new ministry employees are subtly reminded that the Ōkura-shō predates by some 1269 years the Nihon Koku Kempo (New Constitution) imposed on the nation by the U.S. occupation forces in 1947.
The Ministry has long been regarded as the most powerful ministry in the Japanese government
Government of Japan
The government of Japan is a constitutional monarchy where the power of the Emperor is very limited. As a ceremonial figurehead, he is defined by the 1947 constitution as "the symbol of the state and of the unity of the people". Power is held chiefly by the Prime Minister of Japan and other elected...
. After various financial scandals revealed in the 1990s, however, the Ministry lost its power over banking supervision to a newly-established Financial Services Agency
Financial Services Agency
The is a Japanese government organization responsible for overseeing banking, securities and exchange, and insurance in order to ensure the stability of the financial system of Japan. The agency operates with a commissioner and reports to the Minister of Finance. It oversees the Securities and...
. It also lost most of its control over monetary policy to the Bank of Japan
Bank of Japan
is the central bank of Japan. The Bank is often called for short. It has its headquarters in Chuo, Tokyo.-History:Like most modern Japanese institutions, the Bank of Japan was founded after the Meiji Restoration...
when the Diet passed a new Bank of Japan Law in 1998. In addition, it lost its ancient Japanese name in January 2001, to be renamed as Zaimu-shō (財務省), although its English name remained the same.
Despite this renaming, the Japanese people still use a slang term Ōkura-daijin (大蔵大臣), meaning a person controlling a budget (e.g. housewives for family budget matters).
In financial markets, the Ministry is famous for its active foreign exchange policy. Its top civil servant on the international side, Vice Minister of Finance for International Affairs, is often quoted in the financial press. Former Vice Minister Eisuke Sakakibara was known as "Mr Yen", whereas his successors Haruhiko Kuroda and Zembei Mizoguchi were often referred to as "Mr Asian Currency" and "Mr Dollar", respectively.
The current Minister of Finance is Jun Azumi
Jun Azumi
is a Japanese politician of the Democratic Party of Japan , a member of the House of Representatives in the Diet . A native of Oshika District, Miyagi and graduate of Waseda University, he worked at the public broadcaster NHK from 1985 to 1993...
.
Independent Administrative Institutions
Six Independent Administrative InstitutionIndependent Administrative Institution
An Incorporated Administrative Agency or in lay terms an Independent Administrative Corporation or Independent Administrative Institution is a newly designed type of legal body for Japanese governmental organizations regulated by the Basic Law on Reforming Government Ministries of 1998...
s are under the Ministry's control.
- Japan MintJapan MintThe is an Incorporated Administrative Agency of the Japanese government. This agency has its Head office in Osaka with branches in Tokyo and Hiroshima.-History:...
- National Printing BureauNational Printing Bureauis a Japanese governmental agency in charge of the production of Japanese paper money, Yen. It also produces various other products, such as postage stamps.-History:...
of Japan - National Research Institute of BrewingBrewingBrewing is the production of beer through steeping a starch source in water and then fermenting with yeast. Brewing has taken place since around the 6th millennium BCE, and archeological evidence suggests that this technique was used in ancient Egypt...
- Nippon Automated Cargo ClearanceClearanceA clearance can refer to:* in chess, A positional move, where a player moves a piece occupying a certain square away, replacing it with an allied piece that will strengthen the player's position....
System - Commemorative Organization for the Japan World Exposition '70Expo '70was a World's Fair held in Suita, Osaka, Japan between March 15 and September 13, 1970. The theme of the Expo was "Progress and Harmony for Mankind." In Japanese Expo '70 is often referred to as Ōsaka Banpaku...
- Japan Housing Finance Agency
See also
- Minister of Finance (Japan)Minister of Finance (Japan)The is the member of the Cabinet of Japan in charge of the Ministry of Finance. This position was formerly cited as being Japan's most powerful and one of the world's, because Japan had historically held the largest foreign exchange reserves...
- Monetary and fiscal policy of JapanMonetary and fiscal policy of JapanMonetary policy pertains to the regulatio, availability, and cost of credit, while fiscal policy deals with government expenditures, taxes, and debt...
- Ministry of International Trade and IndustryMinistry of International Trade and IndustryThe Ministry of International Trade and Industry was one of the most powerful agencies of the Government of Japan. At the height of its influence, it effectively ran much of Japanese industrial policy, funding research and directing investment...
External links
- Official website
- National Archives of Japan ... Ministry organizational chart (1946)