TOKYO, 21 September 2003 — Reformist Japanese Prime Minister Junichiro Koizumi was re-elected by a landslide as head of Japan’s ruling party yesterday, allowing him to keep the premiership and to lead his coalition into a general election as early as November. The win paved the way for a Cabinet shake-up tomorrow that will provide clues to how hard he plans to push his agenda of reforms aimed at curbing Japan’s huge public debt, curing its ailing banks and creating conditions for a long-term recovery.
“This party election was a step to turn the party into a party truly of the people and truly of reform,” a forceful-sounding Koizumi told lawmakers after his victory. Koizumi beat three challengers, all of whom had criticized his tight fiscal stance and urged the government spend more to boost the long-stagnant economy — now showing signs of recovery.
He won 399 of 657 votes up for grabs. His closest challenger, former LDP policy chief Shizuka Kamei, lagged with 139. Only a few weeks ago, political analysts were saying that deep-seated dislike of Koizumi’s painful policies might push rank-and-file LDP members and lawmakers to deprive him of a first round victory and set the stage for possible defeat in a run-off.
But with expectations growing that Koizumi will call a snap election for Parliament’s Lower House in November and a poll for the upper chamber looming next July, the prime minister’s robust popularity with the voting public appeared the decisive factor. The maverick leader also won the backing of several anti-reform heavyweights, prompting speculation that he had promised to compromise on policy and Cabinet appointments.
Leading the list of ministers who old guard party members want ousted is Economics and Financial Services Minister Heizo Takenaka, an architect of tough banking reforms. Takenaka’s enemies say his banking policies are hurting many small firms, a key power base for many LDP politicians.
