Long-term interest rates rise to 3% level for first time in 30 years; Prime Minister Takaichi stresses response via budget reform

Long-term interest rates rise to 3% level for first time in 30 years; Prime Minister Takaichi emphasizes response through budget reform As the yield on newly issued 10-year government bonds reached a level not seen in about 30 years, Prime Minister Takaichi avoided specific comments, saying it would have 'unforeseen effects on the market,' but emphasized that she would proceed with budget compilation reform that provides permanent measures in the initial budget rather than relying on large-scale supplementary budgets. 1

Supreme Court requests budget for generative AI use in civil trials for first time, moving toward demonstration experiment It has included about 60 million yen in AI-related expenses in its fiscal 2027 budget request, and will test drafting summaries and organizing disputed points using records of cases in which settlements were reached. The research group pointed out the risk that AI could reinforce judges' biases and recommended positioning it as an 'assistant.' 23

Disaster Management Agency to be established in November; concerns over command-center function with 'no budget, no personnel authority, no powers' The government will create the Disaster Management Agency in November to prepare for 'national crisis-level' disasters such as the Nankai Trough, but senior Cabinet Office officials have raised doubts about the effectiveness of its recommendation authority and its ability to coordinate across ministries. Of the 352 authorized staff, about 50 will be assigned as 'hometown disaster prevention staff' to handle prefectural affairs. 4

Special frauds occur one after another across Japan; 65.95 million yen in Aomori, 92 million yen in Otsu Scams impersonating police officers and prosecutors have occurred in succession. A woman in her 60s in Aomori Prefecture ignored persuasion from a real police officer and transferred 65.95 million yen. A 67-year-old woman in Otsu City was defrauded of 92 million yen, a man in his 60s in Kagoshima City of 15 million yen, and in Nagano City a 'pickup' accomplice who swindled 10 million yen was arrested through an emergency deployment. 5678

Statutory speed limit on residential roads lowered to 30 km/h from September 1 With the enforcement of the revised Road Traffic Act, the statutory speed limit on roads without a center line and with a width of 5.5 meters or less has been lowered from 60 km/h to 30 km/h. On school routes in Fukui City, police are urging drivers to drive safely and plan to continue guidance and enforcement. 9

Woman sexually assaulted by former Osaka District Public Prosecutors Office chief retires; protests disclosure of personal information A former subordinate woman who was sexually assaulted by defendant Kentaro Kitagawa (on trial) announced at a press conference that she retired from the public prosecutor's office at the end of August. She submitted a letter of protest to senior prosecutors, saying that the Osaka District Public Prosecutors Office disclosed confidential information such as her date of birth to the defense without permission during evidence disclosure procedures. 10

Centrist reform coalition to present split method soon; party division plan would take time due to procedures At an executive board meeting, they discussed the method and schedule for a split by lawmakers from the Constitutional Democratic Party and Komeito, and will present a direction within this week. In the case of a party division plan, administrative procedures such as closing party branches would take more than a month and a half, raising the possibility that it will not be in time for the autumn extraordinary Diet session. 11

As recovery from Fukui heavy rain continues, Typhoon No. 24 forms and heavy rain threatens in latter half of week In Fukui City, hit by record heavy rain, cleanup work such as drying flooded tatami mats continues in the intense heat, and in Sakai City some residential areas remained isolated. Typhoon No. 24 has formed south of Japan, and there is a risk of warning-level heavy rain across a wide area, including Hokuriku and Kanto, in the latter half of the week. 12

Nakano Broadway 200 million yen theft; Chilean suspects may have plotted to flee overseas Two Chilean men arrested on suspicion of stealing four luxury watches worth about 200 million yen had attempted to leave Japan after the crime, according to interviews with investigative sources. Security cameras showed the two scouting the store two days before the crime. 13