TOKYO: Sanae Takaichi, the newly-elected leader of Japan’s ruling Liberal Democratic Party, conducted coalition discussions with the right-leaning Innovation Party on Thursday.
This move aims to secure her position in an anticipated prime ministerial vote scheduled for next week.
Japan’s Nikkei share average increased as Takaichi’s prospects of becoming the nation’s first female prime minister improved.
Market optimism grew around potential economic stimulus measures and continued loose monetary policies under her leadership.
Takaichi’s succession path appeared certain until the LDP’s junior partner Komeito exited their 26-year coalition last week.
This departure triggered intense negotiations among various political parties to determine Japan’s next premier.
Innovation Party co-head Fumitake Fujita stated that members strongly supported securing their policy commitments through coalition formation.
He emphasised their goal to transform Japanese politics through this partnership.
The combined LDP and Innovation Party would fall just two seats short of a lower house majority.
This parliamentary body holds the decisive vote for selecting Japan’s prime minister.
The Innovation Party advocates establishing a second capital city alongside Tokyo and restarting nuclear power plants.
Their platform also includes limiting foreign resident numbers and strengthening Japan’s defence capabilities.
On constitutional matters, the party supports revising Japan’s pacifist constitution.
These positions align with Takaichi’s nationalist stance from the LDP’s right wing.
The main opposition Constitutional Democratic Party attempted to form a three-way alliance with the Innovation Party and Democratic Party For the People.
These negotiations concluded without agreement on Wednesday.
The LDP proposed October 21 for parliament to vote on the next prime minister.
Opposition parties have resisted this timing due to ongoing coalition discussions.
Any candidate achieving a simple majority in the first parliamentary vote will become prime minister.
Without a clear winner, the top two candidates proceed to a run-off election.
EurAsia Group analysts assessed Takaichi’s premiership probability at 75% despite the fluid political situation.
They cited her potential alliance with the Innovation Party as a significant factor. – Reuters
