Japan needs to stem foreign purchases of Japan Post units

The government needs to devise steps to prevent foreign firms from buying planned postal savings and insurance firms to be created through the privatisation of Japan Post, Internal Affairs and Communications Minister Taro Aso said.

Aso told a news conference, “It is necessary to prevent purchases by foreign companies and others.”

The government is to privatise Japan Post in stages from 2007 by dividing it into four firms, handling postal savings, insurance, mail delivery, and over-the-counter services, respectively.

Aso said the government will consider what methods should be adopted to block foreign purchases of savings and insurance units.

“There can be a range of methods to ensure this, such as the government holding a certain size of equity stake in them or putting restrictions on would-be purchasers,” he said.