Speaking at a press conference after the Cabinet's meeting, Abe ruled out Japan's possible involvement in wars waged by its military ally in Washington.
He also denied planning to provide logistical support to the US-led coalition of countries fighting against the Islamic State jihadist group insurgency in the Middle East.
Abe stressed Japan and the United States had previously agreed that the legislation was aimed at protecting Japanese nationals abroad, and cited regional instability.
Japan's bill to lift its self-imposed ban on military activities overseas for the first time since the 1940s represents a considerable shift in defense policy. The Japanese constitution prohibits a standing army. Japan's troops are called self-defense forces and their functions have been severely limited until recently.
The new legislative package introduces the concept of collective self-defense that allows the government to dispatch troops abroad to help its allies, particularly the United States, without first passing special laws.