Tokyo, The Japanese government plans to compile a record-high general-account budget of around 97.45 trillion yen ($830 billion) for the next fiscal year starting April, legislative sources said Monday, with social security costs accounting for roughly a third of total spending.

On the back of an aging population, the country's initial budget is expected to hit a record high for the fifth straight year following a 96.72 trillion yen budget for fiscal 2016. Some 32.47 trillion yen will be allocated for social security, according to the sources.

The Japanese Cabinet is expected to approve the fiscal 2017 initial budget Thursday.

The issuance of new government bonds will likely come to 34.37 trillion yen, down 60 billion yen from the initial budget for the current year through March, as the government expects tax revenue to grown in fiscal 2017.

Among major outlays, defense spending will likely hit a record-high 5.13 trillion yen, and public works expenditures are expected to increase to 5.98 trillion yen, the sources said.

The central government plans to boost grants to local governments by 290 billion yen to 15.57 trillion yen.

Source: Qatar News Agency