A Meiji-era financier and politician from Satsuma domain. As Finance Minister he laid the foundations of Japan's modern fiscal system. His Matsukata Deflation Policy of 1881 — a three-pillar fiscal reform combining spending cuts, retirement of inconvertible paper currency, and founding of the Bank of Japan — brought the post-Seinan War inflation under control. The 1882 founding of the Bank of Japan is the foundation of the modern central banking system. While the deflationary policy caused hardship in rural areas, fiscal stability set the prerequisite conditions for Japan's modern industrial revolution. He served as 4th (1891-92) and 6th (1896-98) Prime Minister. He is also known for purchasing large quantities of modern French paintings from the Louvre and later donating them to Japan (the Matsukata Collection), which became the nucleus of the National Museum of Western Art in Tokyo. He had 27 children — 15 sons and 11 daughters. He lived to eighty-nine.

A cool-headed pragmatist who pursued fiscal soundness with a long-term perspective. He had the nerve to implement painful policies when he believed in them. He was also a man of vitality, with a large family of 15 sons and 11 daughters.

The founding of the Bank of Japan and the Matsukata fiscal policy are the foundation of modern Japan's financial system. The Matsukata Collection survives as the National Museum of Western Art in Tokyo, registered as a UNESCO World Heritage Site (2021).