Tokyo [Japan], October 19 : Japan's ruling Liberal Democratic Party (LDP) and the opposition Japan Innovation Party (JIP) have reached a de facto agreement to form a coalition, Kyodo News reported, citing senior officials from both parties on Saturday (local time). The deal would see the JIP supporting the LDP from outside the Cabinet.
According to Kyodo News, the newly elected LDP leader, Sanae Takaichi, and JIP chief, Hirofumi Yoshimura, are expected to sign the coalition pact officially on Monday.
This political development comes in the wake of the long-time coalition partner of the LDP, the Komeito party's recent decision to end its 26-year alliance, signalling a major shift in Japan's political dynamics.
Takaichi, who was elected LDP president on October 4, is expected to secure the prime ministership in Tuesday's parliamentary vote, with the JIP pledging to support her. If elected, she would become Japan's first woman prime minister, Kyodo News reported.
However, even with the JIP's backing, the LDP-led coalition would still fall short of an outright majority in the 465-member House of Representatives, with their combined seats totalling 231, just shy of the 233 needed for a majority.
Following Komeito's exit, Takaichi and Yoshimura, who also serves as the governor of Osaka, agreed earlier in the week to begin coalition discussions. On Friday, senior members from both parties agreed to key policy concessions, including a proposed reduction of the consumption tax on food to zero and a ban on corporate and organisational donations, as reported by Kyodo News.
Another major concession from the LDP was the acceptance of JIP's demand to reduce the number of seats in Japan's National Diet, consisting of the House of Representatives and the House of Councillors, which Yoshimura had described as a "nonnegotiable condition" for cooperation, Kyodo News reported.
The two parties plan to introduce related legislation during the upcoming extraordinary Diet session starting Tuesday.
At their initial policy meeting, Takaichi invited the JIP to formally join the Cabinet, but the party declined, choosing instead to support from the outside while observing how their policy proposals are implemented. A joint consultative body will be established to coordinate between the two sides on policy matters.
Yoshimura emphasised that the JIP's participation is focused on achieving real policy outcomes rather than pursuing Cabinet positions. The party will be included in pre-legislative discussions on government bills.
On the key issue of consumption tax cuts on food, both sides agreed to continue negotiations. They also set a target to eliminate corporate and organisational donations by September 2027, coinciding with the end of Takaichi's current term as LDP president, as reported by Kyodo News.
Final approval of the coalition deal from the JIP is expected following internal discussions, including an executive meeting in Osaka on Sunday and a plenary session of its lawmakers on Monday.
Currently, the LDP holds 196 seats in the lower house, while the JIP has 35. The main opposition Constitutional Democratic Party of Japan (CDPJ) has 148, and Komeito holds 24. The CDPJ plans to nominate its leader, former Prime Minister Yoshihiko Noda, for the premiership, but Takaichi is expected to win with the support of her own party and allied votes.
Komeito's split from the LDP came amid tensions over a political funds scandal and concerns over the party's declining support base, which is tied to the lay Buddhist organisation Soka Gakkai.
Separately, Democratic Party for the People (DPP) leader Yuichiro Tamaki, whose party controls 27 seats, expressed openness to working with Takaichi where policy priorities align.
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