I would now like to discuss efforts in three areas that I think are particularly important for raising the growth potential of Japan’s economy. The first concerns effort to tackle rapid population aging. Based on current demographic trends, the pace of decline in the working-age population will accelerate in the future.
For this reason, society as a whole needs to create a working environment that promotes an increase in labor market participation, especially by the elderly and women. In this context, I would like to note that female labor market participation in Japan remains low in international comparison (Chart 11). Second, it is necessary to raise productivity growth in the economy as a whole.