{"id":80859,"date":"2025-10-21T15:44:52","date_gmt":"2025-10-21T12:44:52","guid":{"rendered":"https:\/\/www.nationalturk.com\/en\/?p=80859"},"modified":"2025-10-21T15:44:52","modified_gmt":"2025-10-21T12:44:52","slug":"sanae-takaichi-first-female-prime-minister","status":"publish","type":"post","link":"https:\/\/www.nationalturk.com\/en\/sanae-takaichi-first-female-prime-minister\/","title":{"rendered":"Japan elects Sanae Takaichi as first female prime minister"},"content":{"rendered":"

Sanae Takaichi, 64, has been elected as Japan<\/a>\u2019s first female prime minister, winning 237 votes in the 465-seat lower house on Tuesday. The Liberal Democratic Party (LDP) leader secured a majority and became the nation\u2019s 104th prime minister, succeeding Shigeru Ishiba after months of political uncertainty.<\/p>\n

Markets welcome Takaichi\u2019s win<\/strong><\/h3>\n

Following the leadership vote, Japan\u2019s Nikkei 225 closed 0.15 percent higher, hitting a record level, while the previous day\u2019s 3.37 percent rally reflected investor relief after the coalition deal between the ruling LDP and the opposition Nippon Ishin (JIP) party.<\/p>\n

The easing of political uncertainty lifted overall sentiment, but investors remain cautious about the long-term implications of Takaichi\u2019s fiscal strategy.<\/p>\n

Analysts expect growth-focused policies<\/strong><\/h2>\n

Asia markets analyst Sadi Kaymaz said the coalition could influence Japan\u2019s economic direction and that a growth-oriented fiscal policy is widely expected.<\/p>\n

\u201cInvestments in strategic sectors such as artificial intelligence and robotics are likely to accelerate,\u201d Kaymaz said, noting that companies like Fanuc, Lasertec and Tokyo Electron saw share gains exceeding 6 percent following the election.<\/p>\n

Diverging views on inflation<\/strong><\/h2>\n

Kaymaz highlighted a potential divergence between Takaichi\u2019s economic outlook and the Bank of Japan (BoJ).<\/p>\n

He said that while the BoJ remains concerned about rising inflation expectations, Takaichi<\/a> believes that inflation remains weak due to low domestic demand, and sees growth-driven policies as essential to permanently ending Japan\u2019s deflationary legacy.<\/p>\n

Coalition dynamics and fiscal balance<\/strong><\/h4>\n

The LDP\u2019s new coalition partner, JIP, emphasizes efficient governance and fiscal discipline, aiming to maintain Japan\u2019s target of achieving a primary budget surplus by 2027.<\/p>\n

\u201cMarkets view the new partner as a balancing force,\u201d Kaymaz said, adding that the coalition\u2019s focus on budget efficiency and administrative reform supports stability.<\/p>\n

Concerns over long-term debt<\/strong><\/h3>\n

While tax cuts are expected under the new administration, Kaymaz noted that markets are wary of their fiscal impact.<\/p>\n

\u201cIf spending is financed through tax reductions, Japan\u2019s long-term debt outlook could deteriorate,\u201d he warned.<\/p>\n

This caution has already pushed up yields on 20-, 30- and 40-year government bonds, as investors price in higher borrowing risks.<\/p>\n

Political outlook<\/strong><\/h3>\n

Takaichi, a close ally of slain former leader Shinzo Abe, is expected to follow his conservative agenda emphasizing defense strength, economic revitalization, and potential constitutional revision.<\/p>\n

However, with her coalition lacking full control in both parliamentary chambers, questions remain about her ability to maintain political stability.<\/p>\n

Social policy stance<\/strong><\/h3>\n

Despite her historic election, Takaichi is not prioritizing gender equality or diversity reforms. She supports male-only succession within the imperial family and opposes same-sex marriage and separate surnames for married couples\u2014stances consistent with Japan\u2019s traditional conservative bloc.
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