TOKYO, Oct. 2 (Kyodo) - Heizo Takenaka, state minister in charge of economic and fiscal policy, said Tuesday that corporate confidence in Japan may be even worse than that shown in the Bank of Japan's latest survey because of the impact of the terrorist attacks in the United States. "The survey does not reflect fully the impact of the terrorist attacks," Takenaka told reporters, referring to the BOJ's Tankan quarterly business survey released Monday. The September Tankan survey showed the diffusion index of business sentiment among big manufacturers worsened for the third straight quarter to minus 33 in September from minus 16 in June. Takenaka said the Sept. 11 terrorist attacks will likely chiefly hit Japanese exports as overall demand in the U.S. is expected to wane. "If consumer confidence weakens excessively, the overall economy will also deteriorate in a chain reaction," he said, adding he will keep a careful watch on data for consumer spending. He also said the Council on Economic and Fiscal Policy, a government panel chaired by Prime Minister Junichiro Koizumi, should not take the main role in scrutinizing banks' bad loans, indicating the job should be left to the Financial Services Agency.