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Tax feud splits Japan parliament
Reuters
Published in The Saudi Gazette on 24 - 03 - 2008

Japan's political deadlock deepened on Sunday as ruling and opposition blocs, whose bickering has already left the central bank governor's job empty, clashed over a contentious gasoline tax that expires on March 31.
The stalemate has raised new doubts about Prime Minister Yasuo Fukuda's future, given his difficulties in coping with a divided parliament, even as concerns about Japan's economy grow. It has also stirred speculation about a snap election that the opposition has made no secret of hoping to see this year.
Deputy Bank of Japan Governor Masaaki Shirakawa became acting governor last week after the opposition-controlled upper house of parliament rejected two government nominees for the top post.
Ruling Liberal Democratic Party (LDP) Secretary General Bunmei Ibuki on Sunday urged his main opposition counterpart to hold talks to resolve the BOJ stalemate, which has sparked criticism of both sides at a time when world central banks are working to combat a credit crisis and calm gyrating markets.
Yukio Hatoyama, secretary general of the Democratic Party, appeared to leave the door open for consultations, but stopped short of agreeing to one-on-one talks. “I think it is necessary to improve communication in some form,” Hatoyama said in a debate with Ibuki on Fuji TV. “We will cooperate for that.”
Hatoyama took a stern stance, however, in the feud over a three-decade-old “temporary” gasoline tax devoted mainly to road construction, rejecting a ruling camp call for talks. __


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