Business Day

New leader:

- Linda Sieg and Leika Kihara Tokyo

A newspaper vendor releases extra editions of a paper reporting that Japanese chief cabinet secretary Yoshihide Suga won in a ruling party leadership election paving the way for him to replace Prime Minister Abe Shinzo. Suga, 71, has promised to continue Abe s main economic policies.

Japanese chief cabinet secretary Yoshihide Suga, a loyal aide to outgoing Prime Minister Shinzo Abe, won a landslide victory in a governing party leadership election on Monday, paving the way for Japan’s first change of leader in nearly eight years.

Suga, 71, who has promised to continue Abe’s main policies, said his big win would give him the backing to pursue his reform goals including deregulati­on and breaking down bureaucrat­ic silos and that containing the coronaviru­s and reviving the economy were conditions for calling a snap general election.

As I got big support in numbers today, the environmen­t in which I can pursue my policy agenda in a stable manner has been secured,” Suga told a news conference.

Suga won 377 votes out of 534 votes cast, and 535 possible votes, in the leadership election by Liberal Democratic Party (LDP) MPs and representa­tives of its 47 local chapters.

Rival Shigeru Ishiba, a former defence minister, won 68 votes and former foreign minister Fumio Kishida got 89.

Suga is virtually certain to be elected prime minister in a parliament­ary vote on Wednesday because of the LDP’s lowerhouse majority. He will serve out Abe’s term as party leader through September 2021.

Suga had emerged as frontrunne­r after Abe said last month he would resign because of ill health, ending nearly eight years in office.

There is speculatio­n Suga will call an election for the lower house of parliament as soon as October to boost his chances of winning a full three-year term as LDP chief next year. A vote for the chamber must be held by late October 2021.

What ’ s important now is to contain the pandemic while also reviving the economy. I don’t think we can immediatel­y (dissolve the lower house) just because the pandemic is contained,” Suga said. “That ’ s a decision that must be made looking comprehens­ively at various factors.”

Suga has said he would continue Abe’s signature “Abenomics ” strategy of hyper-easy monetary policy, government

spending and reforms while juggling the problems of Covid-19 and a slumping economy, and confrontin­g longer-term issues such as Japan’s ageing population and low birth rate.

Japanese manufactur­ers

remained pessimisti­c for a 14th straight month in September, a Reuters poll showed, underlinin­g the challenges ahead.

Suga, who has little diplomatic experience, faces geopolitic­al challenges such as building ties with the winner of the US presidenti­al election and balancing concern over China’s maritime aggressive­ness with bilateral economic interdepen­dence.

The son of a strawberry farmer from northern Japan, Suga has been chief cabinet secretary since 2012, acting as Abe’s top government spokespers­on, co-ordinating policies and keeping bureaucrat­s in line.

I was born as the oldest son of a farmer in Akita. Without any knowledge or blood ties, I launched into the world of politics, starting from zero — and have been able to become leader of the LDP, with all its traditions and history,” said Suga, whose modest origins differ from many LDP legislator­s.

I will devote all of myself to work for Japan and its citizens,” he said after the party vote.

His image is more as a behind-the-scenes operator than a front-line leader, but he rose in opinion polls after announcing his candidacy to succeed Abe. He won support from most LDP factions and won robust backing from LDP local chapters.

Nikkei business daily reported Suga plans to reappoint Taro Aso, the boss of the party’s second-biggest faction, as his deputy prime minister and finance minister, the same positions Aso now holds.

AS I GOT BIG SUPPORT IN NUMBERS TODAY, THE ENVIRONMEN­T IN WHICH I CAN PURSUE MY POLICY AGENDA IN A STABLE MANNER HAS BEEN SECURED

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 ?? Bloomberg ?? Strong support: Yoshihide Suga addresses the media after winning the Liberal Democratic Party’s leadership election. /
Bloomberg Strong support: Yoshihide Suga addresses the media after winning the Liberal Democratic Party’s leadership election. /

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