Yoshihiko Noda, Japan's prime minister, says he is determined to rebuild the country after last year's earthquake and tsunami.
But, in his New Year's address, he acknowledged the difficulties that lie ahead in dealing with what are considered the world's most expensive natural disasters.
Noda is proposing to double sales tax to 10 per cent by 2015 to boost government coffers despite it being unpopular with some politicians and the public.
Al Jazeera's Khadija Magardie reports.
