Japan’s New PM Ishiba Unveils Cabinet Ahead of Snap Election

Japan's new Prime Minister Shigeru Ishiba arrives at the prime minister's office in Tokyo on October 1, 2024. (AFP)
Japan's new Prime Minister Shigeru Ishiba arrives at the prime minister's office in Tokyo on October 1, 2024. (AFP)
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Japan’s New PM Ishiba Unveils Cabinet Ahead of Snap Election

Japan's new Prime Minister Shigeru Ishiba arrives at the prime minister's office in Tokyo on October 1, 2024. (AFP)
Japan's new Prime Minister Shigeru Ishiba arrives at the prime minister's office in Tokyo on October 1, 2024. (AFP)

Japan's new Prime Minister Shigeru Ishiba on Tuesday 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 defense 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 US 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 fueled 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 defense chief, will take over as foreign minister, while Gen Nakatani will return to the defense 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.

OUTSIDE THE TENT

Five of the lawmakers who contested the leadership race with him have not been included in his government nor given key party jobs.

Among them is Takaichi, a hardline conservative he beat by 215 votes to 194 on Friday in the closest leadership election in almost seven decades. Local media reported she had declined a senior party post.

That could make it difficult for Ishiba, a perennial favorite in public opinion polls, to manage a fractious ruling group roiled by scandals including unrecorded donations at fundraising parties.

Yoshihiko Noda, the leader of the largest opposition party the Constitutional Democratic party of Japan, said it planned to attack the LDP over its scandals in the upcoming election.

"We cannot establish proper governance through a pseudo-regime change," Noda said on public broadcaster NHK.

But despite its troubles, the party which has ruled Japan for most of the post-war era remains likely to hold on to power in the upcoming election given Japan's weak opposition.

A third of respondents to a weekend poll by the Mainichi newspaper said they supported the LDP, versus 15% for the main opposition Constitutional Democratic Party of Japan.

More than half of the respondents, including those who supported opposition parties, said they were optimistic about Ishiba's appointment.



Biden Signs Bill That Averts Govt Shutdown Ending Days of Washington Upheaval

United States President Joe Biden participates in a holiday visit to patients and families at Children's National Hospital in Washington, DC, USA, 20 December 2024. (EPA)
United States President Joe Biden participates in a holiday visit to patients and families at Children's National Hospital in Washington, DC, USA, 20 December 2024. (EPA)
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Biden Signs Bill That Averts Govt Shutdown Ending Days of Washington Upheaval

United States President Joe Biden participates in a holiday visit to patients and families at Children's National Hospital in Washington, DC, USA, 20 December 2024. (EPA)
United States President Joe Biden participates in a holiday visit to patients and families at Children's National Hospital in Washington, DC, USA, 20 December 2024. (EPA)

President Joe Biden signed a bill into law Saturday that averts a government shutdown, bringing a final close to days of upheaval after Congress approved a temporary funding plan just past the deadline and refused President-elect Donald Trump’s core debt demands in the package.

The deal funds the government at current levels through March 14 and provides $100 billion in disaster aid and $10 billion in agricultural assistance to farmers.

House Speaker Mike Johnson, R-La., had insisted lawmakers would “meet our obligations” and not allow federal operations to close. But the outcome at the end of a tumultuous week was uncertain after Trump had insisted the deal include an increase in the government's borrowing limit. If not, he had said, then let the closures “start now.”

Johnson's revised plan was approved 366-34, and it was passed by the Senate by a 85-11 vote after midnight. By then, the White House said it had ceased shutdown preparations.

“There will be no government shutdown,” said Senate Majority Leader Chuck Schumer, D-N.Y.

Johnson, who had spoken to Trump after the House vote, said the compromise was "a good outcome for the country” and that the president-elect “was certainly happy about this outcome, as well.”

The final product was the third attempt from Johnson, the beleaguered speaker, to achieve one of the basic requirements of the federal government — keeping it open. The difficulties raised questions about whether Johnson will be able to keep his job, in the face of angry Republican colleagues, and work alongside Trump and his billionaire ally Elon Musk, who was calling the legislative plays from afar.

The House is scheduled to elect the next speaker on Jan. 3, 2025, when the new Congress convenes. Republicans will have an exceedingly narrow majority, 220-215, leaving Johnson little margin for error as he tries to win the speaker's gavel.

One House Republican, Rep. Andy Harris of Maryland, criticized Republicans for the deficit spending in the bill and said he was now “undecided” about the GOP leadership. Others are signaling unhappiness with Johnson as well.

Yet Trump's last-minute debt limit demand was almost an impossible ask, and Johnson had almost no choice but to work around that pressure. The speaker knew there wouldn’t be enough support within the slim Republican majority alone to pass any funding package because many Republican deficit hawks prefer to cut the federal government and would not allow more debt.

Instead, the Republicans, who will have full control of the White House, House and Senate in the new year, with big plans for tax cuts and other priorities, are showing they must routinely rely on Democrats for the votes needed to keep up with the routine operations of governing.

The federal debt stands at roughly $36 trillion, and the spike in inflation after the coronavirus pandemic has pushed up the government’s borrowing costs such that debt service next year will exceed spending on national security. The last time lawmakers raised the debt limit was June 2023. Rather than raise the limit by a dollar amount, lawmakers suspended the debt limit through Jan. 1, 2025.

There is no need to raise that limit right now because the Treasury Department can begin using what it calls “extraordinary measures” to ensure that America does not default on its debts. Some estimate these accounting maneuvers could push the default deadline to the summer of 2025. But that’s what Trump wanted to avoid because an increase would be needed while he was president.

GOP leaders said the debt ceiling would be debated as part of tax and border packages in the new year. Republicans made a so-called handshake agreement to raise the debt limit at that time while also cutting $2.5 trillion in spending over 10 years.

It was essentially the same deal that flopped Thursday night — minus Trump’s debt demand. But it's far smaller than the original deal Johnson struck with Democratic and Republican leaders — a 1,500-page bill that Trump and Musk rejected, forcing him to start over. It was stuffed with a long list of other bills — including much-derided pay raises for lawmakers — but also other measures with broad bipartisan support that now have a tougher path to becoming law.

Trump, who has not yet been sworn into office, is showing the power but also the limits of his sway with Congress, as he intervenes and orchestrates affairs from Mar-a-Lago alongside Musk, who is heading up the new Department of Government Efficiency.