Japan’s cabinet approved a stimulus package that’s slightly bigger than last year’s, as Prime Minister Shigeru Ishiba followed up on a pledge to ramp up support for households and businesses struggling to cope with higher costs.

Japanese Prime Minister Shigeru Ishiba said on Friday the government would compile a stimulus package of around 39 trillion yen ($253 billion) that will be funded by a supplementary budget it hopes to pass through parliament.

The Japanese parliament on Monday re-elected Liberal Democratic Party chief Shigeru Ishiba as prime minister in a rare runoff vote after the ruling LDP lost its majority in the lower legislative chamber.

Japanese Prime Minister Shigeru Ishiba is set to unveil a $140 billion economic stimulus package to address a range of challenges from inflation to wage growth, following his election promises to alleviate a cost-of-living crunch.

Parliament voted Monday to stick with Mr. Ishiba, who will lead a minority government after his party suffered heavy losses in an election last month.

Japan's ruling coalition on Wednesday agreed with a key opposition party on the draft of an economic stimulus package, clearing a major hurdle for the $87 billion package designed to help cushion the blow to households from rising prices.

Japanese Prime Minister Shigeru Ishiba struck a deal with a key opposition party over his economic stimulus package, by promising that discussion of the opposition’s tax cut proposals will be included among the measures,

Japanese Prime Minister Shigeru Ishiba's new minority government won backing on Wednesday from a kingmaker opposition group for an economic stimulus package, the party's chief said. On Wednesday the head of the smaller Democratic Party for the People (DPP) said it reached a deal to back the stimulus package drawn up by Ishiba's LDP and its junior coalition party Komeito.