Japan ministers agree to halve drug prices.
Health ministers plan drug price cuts to reduce patient costs while increasing out-of-pocket expenses for some to lower public health spending.
Health Minister Takamaro Fukuoka and Finance Minister Katsunobu Kato struck a deal to cut official drug prices for nearly half of all medications. This agreement, part of the FY 2025 budget talks, is expected to save national medical expenses by ¥246.6 billion ($1.57 billion) and reduce government costs by ¥64.8 billion. While this will ease the financial burden on patients, it's going to hit the profits of pharmaceutical companies hard. Starting August 2025, they also plan to gradually increase the upper limit on out-of-pocket medical expenses. For those earning between ¥3.7 million and ¥5.1 million, the copayment could jump by 10%, averaging around ¥88,000 a month. This move aims to cut spending on public health insurance and help lower premiums for working folks.
Read more__〆( ̄ー ̄ )
Fascinated by Japan’s culture and history? Learn the language that brings it all to life. Start now at LearnJapanese.com!