(1) Policy development with emphasis on effect and efficiency

In a mature society in an increasingly serious financial condition, it is vital to carry out more effective measures more quickly at lower cost in dealing with various issues.

For that purpose, the following points are important:

(a) Carrying out measures effectively and efficiently, making the best use of the merits of integration by uniting the former four ministries and agencies and exhibiting comprehensive capabilities.

(b) Accurately evaluating the effects of measures and determining the priority of measures.

(c) Promoting rationalization and simplification of the procedures involved in the implementation of measures.

(d) Actively utilizing the ability of the private sector in areas where it is capable.

(e) Trying to utilize existing stocks effectively and reduce overall costs, including life cycle costs, especially in the area of social capital improvement, and in the field of transport, steadily implementing administrative review ex post facto with emphasis on safety and environment.

## (2) Policy development from the viewpoint of citizens

Japan's economy in the 20th century achieved unprecedentedly high economic growth. But on the other hand, the fact remains as an important political issue that the Japanese people cannot realize wealth fully corresponding to the nation's economic power.

A sluggish economy has persisted in Japan since the 90s, and Japan is now trying to construct an economic society suitable for the 21st century. We must construct a system that makes people fully realize and enjoy the result of development as efforts bear fruit and lead to further development. Therefore, it is essential to develop policies from the viewpoint of citizens.

To be specific, the following efforts are necessary in developing administration open to the public:

(a) Actively promoting information disclosure, including matters concerning policy evaluation;

(b) Encouraging the participation of citizens such as PI (Public Involvement) and social experiments from an earlier stage of policy implementation; and

(c) Promoting to build a system in which local citizens and NPOs can participate willingly.

## (3) Development of policy with wider vision

In recent years, reconsideration of role sharing between national and local governments promoting decentralization has become an important issue domestically, while global exchanges have been activated in various fields and globalization has rapidly proceeded worldwide. For the future administration of MLIT, it is inevitable that we must cope with these environmental changes both at home and abroad.

Therefore, the following points are necessary in dealing with issues based on wider vision:

(a) Promoting policy development that respects local independence and creativity; and

(b) Endeavoring to display self-reliance, including actively proposing Japan's ideas in a global society, etc.

### 3. Determination to pursue reform

When proceeding towards above directions, conventional administrative methods should be reformed drastically and a new system of administration of MLIT for the 21st century should be reconstructed with fresh ideas.

Therefore, it is important for each staff member engaged in administration of MLIT actively to launch self-reform, being aware that the ultimate goal of the administration of MLIT is to realize the happiness of the citizens. Moreover, accumulating measures both in hardware and software, including effective use of stocks and construction of a new system respectively, is crucial to make the best use of inventiveness with fresh ideas.

Practical measures that MLIT has begun to challenge for "reform without sanctuary" of the administration of MLIT will be presented in Part I, Chapter 3.

Reform is still in process. Our wisdom should be concentrated in order to fulfill the mission imposed on MLIT, precisely analyzing and understanding new trends and trying harder to arrange and improve the new system for the 21st century, attentively and extensively listening to public opinion.