TOKYO: Japan’s new Prime Minister Shigeru Ishiba on Tuesday (Oct 1) unveiled his cabinet as he seeks to heal party divisions and secure a national mandate with an Oct 27 snap election.
The 67-year-old former defence minister, who last week won a close-fought contest to lead the ruling Liberal Democratic Party (LDP), was confirmed earlier in the day as prime minister by parliament.
He is scheduled to hold his first press conference later in the day in Tokyo.
The Ishiba administration’s approach to diplomacy with Japan’s closest ally, the United States, will be in focus, as he has repeatedly called for a more balanced relationship with Washington.
He has also proposed creating an Asian version of the collective security group NATO to deter China, an idea that could draw ire from Beijing and has already been dismissed by a senior U.S. official as hasty.
Ishiba must quell simmering anger over rising living costs and his scandal-plagued party, and navigate a volatile security environment in East Asia fuelled by an increasingly assertive China and nuclear-armed North Korea.
The veteran lawmaker, seen as somewhat of a party outsider who failed at four previous leadership bids, has named a mixture of rivals and allies to cabinet posts.
It includes two leadership rivals in key positions, Katsunobu Kato as finance minister and Yoshimasa Hayashi to stay on as chief cabinet secretary, a post that includes the role of top government spokesman, the government announced.
Kato’s appointment to the finance ministry will be closely watched given he served in key positions in former premier Shinzo Abe’s administration, which pursued expansionary fiscal and monetary policies.
The Nikkei stock index fell nearly 5% on Monday in reaction to a surging yen following Ishiba’s win over Sanae Takaichi, a monetary dove and fiscal expansionist, in Friday’s leadership contest. The index recovered ground on Tuesday.
A close Ishiba ally, Takeshi Iwaya, a former defence chief, will take over as foreign minister, while Gen Nakatani will return to the defence ministry, a position he held in 2016. Yoji Muto, a former junior minister, will take charge at the economy, trade and industry ministry.
In his victory speech on Friday, he spoke about the need to beef up Japan’s security after recent territorial incursions by Chinese and Russian military vessels.
