Sapporo City is beginning to face financial difficulties. The general account budget for fiscal year 2026 has reached a record high of 1.3185 trillion yen. The revenue shortfall of 21 billion yen incurred during the budget formulation was covered by withdrawing 10.4 billion yen from the city’s financial adjustment fund, which serves as its savings, and by reducing administrative expenses. The city estimates that the three major funds, including the financial adjustment fund used to balance the budget, will be depleted by fiscal year 2031. In the ordinary account settlement, which includes some special accounts, the city has been running a real single-year deficit since fiscal year 2021, and a fundamental overhaul of the city’s finances is inevitable.
■ Projected revenue shortfall for fiscal year 2035 is 2.8 times that of fiscal year 2026
…