Fumio Kishida wins vote to become Japanese ruling party leader, PM

Current GK ( Master) International Affairs

29-Sep-21

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Kishida, 64, won a run-off against vaccine minister Taro Kono with 257 votes to 170.Fumio Kishida, a former foreign minister, on Wednesday won the race to lead Japan's ruling Liberal Democratic Party (LDP) party and become the next prime minister.The soft-spoken Kishida, 64, won a run-off against vaccine minister Taro Kono with 257 votes to 170.
Here are some reactions to the news.
JESPER KOLL, EXPERT DIRECTOR, MONEX GROUP
"A win for the establishment. Kishida stands for stability, for not rocking the boat and most importantly, doing what elite technocrats tell him to do. Clearspeak - on economic and financial policy, Kishida will follow a path of steadfast by incremental change.With Kono, there was a chance of more radical, pro-business reform. With Kishida, it'll be predictable, consensus-driven and incremental."
TAKESHI NIINAMI, SUNTORY HOLDINGS CEO
"The delays of Japan's economy as a result of the coronavirus pandemic are, compared to the rest of the world, in a dangerous situation." "I would like them to thoroughly examine the measures taken so far, promptly prepare laws and reform the administrative system.""On top of this, in order to get rid of the worries of citizens, the development of a sustainable social security system is essential, administrative reforms to promote digitalisation and policy management to achieve medium-to-long term economic growth by boldly implementing investment tax cuts without incidental conditions."
MASAAKI KANNO, CHIEF ECONOMIST, SONY FINANCIAL HOLDINGS
"If anything, Kishida's policies will likely focus on income distribution compared to Abenomics."
"The global economy is slowing down, in part due to coronavirus-linked supply chain disruptions in Southeast Asia, alongside power shortages in China, which are said to push down operating rates of factories. The economy is facing downward pressure due to these supply-side issues." "The good news is that the fifth wave of coronavirus infections has decreased extremely rapidly so Kishida is lucky.Even if cash handouts aren't distributed at this time, GDP is likely to grow in the fourth quarter centred on consumption due to pent-up demand."
CHRISTIAN DE GUZMAN, SENIOR VICE PRESIDENT, MOODY'S INVESTORS SERVICE
"We do not expect much of a departure from currently accommodative fiscal and monetary policies, while the Suga administration's emphases on decarbonisation and digital transformation will likely be carried over into the next government."
"Nevertheless, the credit implications of the leadership transition will ultimately be determined by the ability of Kishida to secure a strong mandate in the forthcoming general elections, which could support difficult reforms promoting economic growth and fiscal sustainability."