US Treasury Secretary Scott Bessent said the yen is undervalued, making an unusually direct assessment of the currency and signaling that Washington is unwilling to accept excessive weakness. (News On Japan)

Prime Minister Sanae Takaichi announced that Japan will cut the consumption tax rate on food and beverages to 1% from April 2027, pledging to secure the necessary funding without relying on deficit-financing bonds and to restore the rate to 8% after two years. (News On Japan)

Prime Minister Sanae Takaichi moved on July 30 to turn food-tax relief from a campaign promise into government policy, instructing the ruling Liberal Democratic Party to proceed with a temporary cut in the sales tax on food as the Bank of Japan began a policy meeting that could shape the next phase of Japan’s currency, inflation and fiscal debate. (News On Japan)

Prime Minister Sanae Takaichi moved closer on July 29 to adopting a sharp temporary cut in Japan’s food sales tax, turning cost-of-living relief into the next major political test for her government as markets remained uneasy over the weak yen, rising bond yields and the administration’s expansionary fiscal agenda. (News On Japan)

Prime Minister Sanae Takaichi’s government moved on July 28 to reassure investors that it respects the Bank of Japan’s independence, as Finance Minister Satsuki Katayama said relations between the government and the central bank remain smooth despite market concern over rising bond yields, yen weakness and the administration’s growth-oriented fiscal agenda. (News On Japan)

Artificial intelligence could bring changes equal to or greater than the Industrial Revolution, reshaping the role of government, society and policymaking, Mirai party leader Takahiro Anno said in an interview broadcast on July 26. (News On Japan)

Prime Minister Sanae Takaichi entered the final week of July facing the sharpest political test of her administration so far, as a fall in public support exposed growing unease over the weak yen, rising living costs and doubts about whether her growth strategy can reassure both households and financial markets. (News On Japan)

The Trump administration imposed new additional tariffs on Japan and 59 other countries and regions at 1:01 p.m. Japan time, shortly after President Donald Trump praised Shohei Ohtani and Yoshinobu Yamamoto during a White House ceremony honoring the Los Angeles Dodgers. (News On Japan)

Japan's parliament enacted legislation on July 24 to establish a secondary capital capable of maintaining legislative and administrative functions if Tokyo is struck by a major disaster, while also seeking to reduce the excessive concentration of population and economic activity in the capital. (News On Japan)

Prime Minister Sanae Takaichi entered the final full day of the extended Diet session on July 24 facing pressure from both parliament and financial markets, as opposition parties prepared to question her in Budget Committee deliberations while the ruling bloc sought to complete legislation central to its coalition with the Japan Innovation Party. (News On Japan)

Prime Minister Sanae Takaichi’s economic agenda faced another market test on July 23 as the yen remained near its weakest level in about 40 years, forcing the government to keep warning of possible currency action while investors increasingly expected the Bank of Japan to raise interest rates again before the end of the year. (News On Japan)

A Russian military intelligence officer accused of posing as an airline employee in Tokyo while overseeing the smuggling of high-tech equipment needed to sustain Russia's invasion of Ukraine left Japan after his activities were reported by The New York Times. (News On Japan)

Prime Minister Sanae Takaichi’s economic agenda came under sharper pressure on July 22 as the yen fell to its weakest level in about 40 years, forcing the government to warn of possible currency action while the Bank of Japan signaled growing concern that inflation risks could require faster interest-rate hikes. (News On Japan)

A Russian nuclear-capable long-range strategic bomber flew over international waters in the Sea of Japan for more than 11 hours, accompanied by an escort that included Sukhoi Su-35 fighter jets, Russia's Defense Ministry said on July 21 as it released footage of the flight. (News On Japan)

Prime Minister Sanae Takaichi has drawn criticism over a social media post describing five hours of sleep as a rare luxury, as the extended Diet session prepares to begin Upper House debate on a controversial bill to establish secondary capitals outside Tokyo. (News On Japan)

Prime Minister Sanae Takaichi’s first economic policy roadmap took center stage on July 21, setting out a long-term investment strategy aimed at reviving growth, but the plan was immediately overshadowed by concerns in the bond market over fiscal discipline and the Bank of Japan’s independence. (News On Japan)

Asset reports for all 465 members of Japan's House of Representatives elected in February 2026 have been released, showing average declared assets of 32.78 million yen, up 6.09 million yen from the previous disclosure. (News On Japan)

Prime Minister Sanae Takaichi's government approved its first annual basic economic and fiscal policy on Tuesday, pledging "responsible and proactive fiscal policy" and envisioning about 370 trillion yen in public- and private-sector investment in strategic industries through fiscal 2040. (News On Japan)

A covert network of shuttle tankers is carrying crude through the increasingly dangerous Strait of Hormuz as renewed fighting between the United States and Iran disrupts shipping and raises concerns over how Japan will secure the oil it needs. (News On Japan)

Russian Deputy Foreign Minister Andrey Rudenko has criticized moves by Japanese and Ukrainian companies to cooperate on drone technology, warning that such ties would be regarded by Moscow as a "clear hostile act." (News On Japan)