Japan scraps postal privatisation plans
Source: Financial Times
Japans parliament has approved a retreat from plans to privatise the huge banking and insurance arms of the national postal system, formally repudiating a flagship reform pushed through by liberalising former prime minister Junichiro Koizumi.
A revised postal system reform law, enacted on Friday after a landslide vote by the upper house of the Diet, scraps a requirement for Japan Posts postal and insurance businesses to be fully privatised by 2017.
It also clears the way for the two businesses among the worlds biggest financial institutions to offer new services even if the state sells only half of its stake in them.
The law, passed by the upper house by a vote of 216 to 17, underscores Japans dramatic turn away from policies pushed by Mr Koizumi, who had made postal privatisation his highest profile policy for a 2005 general election that his Liberal Democratic party won by a landslide.
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So Japan understands the important role of government, while the US Congress struggles to down government in the bathtub (as millionaire lobbyist Grover Norquist put it)?