Japan set for new coalition and first woman PM
Summary
Japan’s ruling LDP is set to sign a coalition deal with the Japan Innovation Party, paving the way for Sanae Takaichi to become the country’s first woman prime minister and boosting the Nikkei to a record high.
Key Points
- Japan’s ruling Liberal Democratic Party (LDP) will sign a coalition deal with the Japan Innovation Party (JIP) to support Sanae Takaichi’s appointment as prime minister.
- Sanae Takaichi, a right-wing traditionalist from the LDP, is poised to become Japan’s first female prime minister.
- The LDP’s previous coalition with the Komeito party collapsed following disagreements over party funding and Takaichi’s rhetoric on China and visits to a controversial Tokyo shrine.
- Takaichi’s election is expected to lead to proactive fiscal policies and has positively impacted the Nikkei 225 stock index, reaching a new record above 49,000 points.
