Highlights

  • Takaichi dissolved lower house ahead of February 8 polls
  • Election called amid inflation and rising living costs
  • Ruling coalition holds only slim parliamentary majority

Latest news

Admach Systems Limited Receives 03 New Orders Aggregating ~Rs9.46 Crore; Cumulative Order Book Stands at ~Rs76.95 Crore

Admach Systems Limited Receives 03 New Orders Aggregating ~Rs9.46 Crore; Cumulative Order Book Stands at ~Rs76.95 Crore

Tamil Nadu has decided that it's time to bid farewell to 'corrupt' DMK govt: PM Modi

Tamil Nadu has decided that it's time to bid farewell to 'corrupt' DMK govt: PM Modi

Tanla Announces Third Quarter Results for FY26

Tanla Announces Third Quarter Results for FY26

Tata ClassEdge Collaborates with Etome Works Limited to Launch EdTech Experience Centres

Tata ClassEdge Collaborates with Etome Works Limited to Launch EdTech Experience Centres

TECNO Spark Go3 Goes on Sale at Rs. 8,999, Focusing on Durability and Best Signal

TECNO Spark Go3 Goes on Sale at Rs. 8,999, Focusing on Durability and Best Signal

Illuminati MarTech LLC: Creating a Performance Marketing Powerhouse Across the Globe

Illuminati MarTech LLC: Creating a Performance Marketing Powerhouse Across the Globe

Accountancy and finance professionals urged to embrace "Hyper-Personalised" careers as workplace evolves: Report

Accountancy and finance professionals urged to embrace "Hyper-Personalised" careers as workplace evolves: Report

Raw Action, Elite Precision: The Iconic NSG Calendar Marks Its 10th Edition

Raw Action, Elite Precision: The Iconic NSG Calendar Marks Its 10th Edition

Japan PM Takaichi dissolves Parliament for snap election

Japanese Prime Minister Sanae Takaichi dissolved parliament and announced a snap election on February 8, seeking public support amid rising living costs and economic challenges.

Japan PM Takaichi dissolves Parliament for snap election

Japanese Prime Minister Sanae Takaichi dissolved parliament on Friday ahead of a snap election on February 8, counting on her cabinet's high poll numbers to steer her otherwise unpopular ruling party to victory.

The country's first woman premier had announced her intentions on Monday, seeking public backing for measures to shield households from rising living costs and increase spending on defence.

The speaker of parliament on Friday read out a letter, officially dissolving the lower house as lawmakers shouted the traditional rallying cry of "banzai".

The ruling coalition of Takaichi's Liberal Democratic Party (LDP) and the Japan Innovation Party (JIP) has only a slim majority in the powerful lower chamber.

Takaichi is hoping widespread support for her cabinet will help deliver her a stronger mandate even though the LDP itself is battling low approval ratings and a string of scandals.

"It's not clear if high public support for the Takaichi cabinet will actually lead to support of the LDP," Hidehiro Yamamoto, a politics professor at the University of Tsukuba, told AFP.

"What the public are concerned about is measures to address inflation," he said.

On Friday, closely watched government data showed the country's inflation rate slowed in December, largely thanks to government subsidies for electricity and gas.

The 2.4 percent year-on-year rise in consumer prices, which excludes volatile fresh food, compared to three percent in November -- a notable slowdown, although higher than the central bank's two percent target.

Public discontent over rising prices largely contributed to the downfall of Shigeru Ishiba, whom Takaichi succeeded in October.

While Japan was long haunted by deflation, it has more recently faced a surge in living costs and a chronically weak yen that has made imports more expensive.

Rice has become a symbol: its price more than doubled in mid-2025 compared to a year earlier, before easing in recent months.

The price of the grain rose more than 34 percent in December compared to last year, official data showed Friday.

Vowing to address the issue and shore up the world's fourth-largest economy, Takaichi's cabinet approved a record 122.3-trillion-yen ($770 billion) budget for the fiscal year from April 2026.

But rivals say dissolving the lower house risks delaying its passage through parliament, with Jun Azumi of the main opposition Constitutional Democratic Party (CDP) saying it would "sacrifice livelihoods".


- Tax relief -

If elected, Takaichi has pledged to cut a sales tax on food for a two-year period to "alleviate the burden" on people struggling with inflation.

Opposition parties are also calling for the tax relief.

But Takaichi's "proactive" fiscal spending risks inflating the country's already colossal debt, which is expected to exceed 230 percent of GDP in the fiscal year 2025-26. Takaichi says the policy is "responsible".

The prospect of tax cuts roiled the bond market this week, after it was already rattled by the massive stimulus plan and worried about fiscal slippage financed by debt.

Yields on Japanese government bonds have soared, signalling investor distrust.

The Bank of Japan (BOJ), which is responsible for price stability, left its key interest rate unchanged at 0.75 percent in a policy decision Friday after a two-day meeting.

It has raised its key interest rates several times since early 2024 to rein in inflation.

The BOJ predicted that consumer price inflation will fall below two percent year-on-year during the first half of 2026, noting the government's measures against inflation.


- Centrist alliance -

The LDP has governed Japan almost uninterrupted for decades, albeit with frequent leader changes.

The CDP has joined forces with another party, Komeito, hoping their new Centrist Reform Alliance can draw swing voters away from Takaichi.

Analysts say the election could be a close battle depending on the success of the alliance, but the opposition's chances of winning remain slim.

"The key could be the voting behaviour of young and middle-aged groups, as was the case in the upper house election" in July, Mizuho Research & Technologies said in a note.

The Takaichi government enjoys around 90 percent support among those under 30, according to a poll published at the end of December by the conservative Sankei Shimbun newspaper and Fuji Television.

ADVERTISEMENT

Up Next

Japan PM Takaichi dissolves Parliament for snap election

Japan PM Takaichi dissolves Parliament for snap election

Five-year-old detained in Minneapolis amid US immigration crackdown

Five-year-old detained in Minneapolis amid US immigration crackdown

US, Ukrainian and Russian officials to meet in UAE, says Kremlin

US, Ukrainian and Russian officials to meet in UAE, says Kremlin

Venezuela moves to open up oil sector, a key Trump demand

Venezuela moves to open up oil sector, a key Trump demand

Iran warns 'finger on trigger' as Trump says Tehran wants talks

Iran warns 'finger on trigger' as Trump says Tehran wants talks

Carney answers Trump: 'Canada doesn't live because of US'

Carney answers Trump: 'Canada doesn't live because of US'

ADVERTISEMENT

editorji-whatsApp

More videos

Trump says US still watching Iran, fleet sailing to region

Trump says US still watching Iran, fleet sailing to region

Donald Trump introduces global ‘Board of Peace’ at Davos, allies divided

Donald Trump introduces global ‘Board of Peace’ at Davos, allies divided

Denmark calls for constructive talks on Greenland, rules out sovereignty compromise

Denmark calls for constructive talks on Greenland, rules out sovereignty compromise

Putin says Russia studying Trump’s 'Board of Peace' invitation

Putin says Russia studying Trump’s 'Board of Peace' invitation

Trump expresses confidence in India-US trade deal, calls PM Modi a 'close friend'

Trump expresses confidence in India-US trade deal, calls PM Modi a 'close friend'

Trump backs down on Greenland threat, announces Arctic security deal

Trump backs down on Greenland threat, announces Arctic security deal

India is a top AI power, not IMF’s ‘second grouping’: Ashwini Vaishnaw

India is a top AI power, not IMF’s ‘second grouping’: Ashwini Vaishnaw

Israel's Netanyahu accepts Trump invitation to join 'Board of Peace'

Israel's Netanyahu accepts Trump invitation to join 'Board of Peace'

Pakistan defence minister Khawaja Asif inaugurates fake Pizza Hut outlet, gets brutally trolled

Pakistan defence minister Khawaja Asif inaugurates fake Pizza Hut outlet, gets brutally trolled

Trump departs for Davos forum again after switching to new plane

Trump departs for Davos forum again after switching to new plane

Editorji Technologies Pvt. Ltd. © 2022 All Rights Reserved.