Japan Elects Sanae Takaichi as First Female Prime Minister After Ishin Pact

Overview

• Parliament chose Takaichi with 237 votes in the lower house and 125 in the upper house, and she introduced a 19‑member cabinet that includes only two women.
• The LDP–Ishin arrangement combines 231 lower‑house seats, two short of a majority, with Ishin declining cabinet posts as the government seeks opposition backing for key bills.
• Their coalition pact advances Ishin priorities, including a 10% reduction in the number of lawmakers and a two‑year suspension of the food consumption tax.
• Takaichi’s agenda emphasizes fiscal expansion and tax cuts, higher defense spending and a push to revise Article 9, alongside tighter immigration controls criticized by immigrant communities and opposition figures.
• Markets reacted to expectations of looser fiscal policy with a weaker yen and a 3.4% rise in the Nikkei, as foreign partners track early diplomacy that includes an expected visit by U.S. President Donald Trump next week.