Abstract: Japan‘s new Prime Minister Fumio Kishida advocates a liberal capitalism with intervention, even strong intervention, for new capitalism. The focus is on giving full play to the functions of the government and the state and regulating secondary distribution. Between large companies and SMEs (small and midsized companies), SMEs have a greater proportion of profits. Between capital and employees, employees have a higher ratio of profits. The tilt of its policies is biased towards the middle class and the lower middle class. Policy practices mainly include building a strong country in science and technology, implementing the “digital ruralcity concept” to revitalize the countryside and connect the world, promoting economic security, and eliminating anxiety in elderly, strengthening the distribution function for workers, expanding the middle class and coping with the decline in the birth rate, increasing the income from work in areas such as nursing and childcare, reforming fiscal allocation, and other issues of nationbuilding. Prime Minister Fumio Kishidas new capitalism mainly belongs to the strategy and policy of economic development and peoples livelihood. Its core content is the issue of development and distribution. Kishidas new capitalist strategy and policies may bring some changes to Japan. But because there are so many constraints, it is difficult to achieve the goal.

Key words: Fumio Kishida, new capitalism, economic development, secondary distribution, capitalist reform