TOKYO: Japan's Emperor Akihito on Friday voiced concern about the growing impact of the global financial crisis on the nation's economy as he greeted New Year crowds in the Imperial Palace.

Around 10,000 people, mostly elderly Japanese, gathered at the palace in central Tokyo, to hear the emperor's traditional New Year address and to exchange greetings with members of the imperial family.

"I'm worried that many people are having a New Year with a lot of troubles under the severe economic conditions," Akihito said in a rare New Year comment on economic matters.

"I hope this year will be a better year - even if only slightly - for our people," the 75-year-old monarch said, speaking in bright sunshine from a balcony protected by bulletproof glass.

"At the beginning of the year, I wish for the happiness of the people and peace in the world," Akihito said as crowds shouted "Banzai" (long live) and waved Japanese flags.

Japanese companies have cut tens of thousands of jobs, mostly of vulnerable temporary-contract workers, as demand for cars, cameras and other products wanes amid the crisis.

The imperial household agency decided to shorten Akihito's schedule for his New Year appearances during the day as he was suffering an irregular pulse late last year.

Akihito, who marks the 20th anniversary of his reign in 2009 after taking over from his father Emperor Hirohito, who died on January 7, 1989, has been restricting his official duties in recent weeks.

The role of Japan's emperor has been reduced to a ceremonial one after Hirohito renounced his divinity and his status as the military commander in chief after World War II.

In the 1947 post-war constitution, the emperor was defined as "the symbol of the state and of the unity of the people." He has been made to remain neutral in political matters.

- AFP/yb