Sanae Takaichi poised to become Japan’s first female prime minister

Sanae Takaichi, a hardline conservative and member of the Liberal Democratic Party (LDP), is poised to become Japan’s first female prime minister. Following her election as LDP leader, her ascension to the premiership is expected to be confirmed by lawmakers in mid-October, as the LDP remains the largest party in the lower house.

Takaichi’s platform focuses on nationalist views, a hawkish defense stance, and closer alignment with the United States. Her economic approach includes proposals to reduce consumption taxes while simultaneously increasing public spending on social security and defense, even at the risk of higher budget deficits.

Some analysts have drawn comparisons between her economic strategies and those of former UK Prime Minister Liz Truss, noting potential risks regarding government bond yields and the value of the yen. Takaichi has also advocated for the Bank of Japan to avoid raising interest rates to manage existing public debt service costs.