The war in Tokyo on 23 April 2015, Sanaa Takchi, a question after visiting Yasukuni Shrine to honor the Shrine Spring Festival of Durig, Deurig.
Toshifumi Kitamura | AFP | Getty images
After winning the ruling Liberal Democratic Party of Japan, Sai Takachi is on the verge of becoming the first woman Prime Minister of the country.
Takchi, a hardcore orthodox and late Shinzo Abe said on Saturday that he will “be”work work work“People’s concerns about the future in people’s daily life and future in hope.”
His rise comes in the time of economic stress at home and stressful relations abroad-and tests whether Japan doubles the conservative, supporter-Abonomics agenda that defines the last decade.
LDP lost its majority in both houses of Parliament in 2024 and 2025 after Prime Minister Shigeru Ishiba’s resignation after Takaichi’s victory, leaving it to rule as a minority.
This also means that when the diet calls on October 15, opposition parties can theoretically block the confirmation of Takachi as the Prime Minister, although analysts say that it is a risk. Is below,
Research firm BMI said in a note on Monday that the first task of Takachi is to secure the support of at least one opposition party.
However, opposition parties face a dilemma: joining LDP in an alliance may increase their influence, but disgruntled voters are isolated from the ruling party.
Should Takachi reach an agreement with the opposition, BMI said his government would face many challenges, including a cost-lived crisis, managing security and business relations with US President Donald Trump, as well as addressing domestic concerns about the increasing number of foreigners living in Japan.
Abenomics 2.0?
Takaichi is seen as a proposer for “abenomics”, Shinzo Abe’s economic strategy, which spied loose monetary policy, fiscal expenses and structural reforms.
He had earlier criticized the plan of Bank of Japan to raise interest rates, which BOJ Governor Kazuo Ud said on Friday that the central bank would determine the rates. “Without any prior perception.”
BOJ ended its negative interest rate in March 2024 and recently Put rates at 0.5%,
“We can already guess that it will not bring inflation down, because if she is going to double on the albonomics of the past, which means a rapid weak yen, meaning that more government spending, means that more inflation means,” said, “William Peacek said, said, William Pesac said, said, William Pesac said, Japanese: What the world can learn for the lost decades of Japan,
LDP chose Takachi as he felt that he is the best person to deal with US President Donald Trump, a long time a watchman from Asia told CNBC’s “CNBC watchman” that “Squalk box asia,
“He was probably the best option to face Trump with Trump and the rest of the world with Trump in this stressful moment,” Pacek said.
Last week, Takaichi allegedly expressed misunderstanding about this US-japan trade dealAnd said on one Fuji tv program The agreement was not away from the “Do-Over” table of the agreement, referring to Japan’s investment pledge of $ 550 billion.
While city analysts have estimated a close-term rally of around 47,000 for Nikkei 225, they warned that Japanese equities have not been evaluated with the forward price-to-Kamai ratio of Topics 12-Mahne near the 16-time historic peak.
Analysts hope that consumer, defense and export-sensitive shares will benefit under a strong government, while finance and real estate stock can face headwinds.
Wild card
Takaichi has called for a hardcore stance towards China and is in favor of revising Japan’s pacifying constitution, especially Article 9, which abandoned Japan’s right to wage war.
Former Economic Security Minister is also seen as friendly to Taiwan, which can rub the wings in Beijing. Taiwan President Lai Ching-Te described Takachi as “staunch friend of Taiwan” Post in Japanese on X Saturday, and hoped that the two sides “could extend Taiwan-Japan relations to a new level.”
Late Shinzo Abe (L) and Sai Takachi (R) at a science and technology innovation conference in Tokyo on 22 October 2014.
Toshifumi Kitamura | AFP | Getty images
Her previous visits to the controversial Yasukuni Shrine, including the war criminals, have criticized the Japan’s war as dead, criticizing the site from China and South Korea, which see the site as a symbol of Tokyo’s war -time aggression.
Takaichi is going to be “very, very careful” how she communicates her ideas, especially on foreign policy, “Kee Omla, Management, Director and Navaburger Burman’s portfolio manager, told CNBC.
“Their views on China and Korea have also been marked very well. But she also understands that she has to maintain very good relations with all these countries, especially with the United States, with the United States, just because all of them have a huge impact in terms of Japan’s biggest export sites.”
He said that Takachi has not left his strong nationalist views. “This is something that I think we continue to look more closely, especially in a year and potentially two of this administration.”