Challenges Awaiting Abe after Party Election Win

September 21, 2018

Tokyo- Many challenges are awaiting Japanese Prime Minister Shinzo Abe as he won a third consecutive term as president of the ruling Liberal Democratic Party in an election on Thursday.

One focal point in domestic affairs is whether he will raise the consumption tax rate from the current 8 pct to 10 pct in October 2019 as planned.

It is also crucial whether he will achieve results in efforts to resolve North Korea's nuclear, missile and abduction issues and a territorial dispute with Russia.

"I'll face up to the national crisis of an aging population and the raging waves of turbulent international situations," Abe told a news conference after winning the LDP leadership election.

He has so far postponed the consumption tax increase to 10 pct twice after raising the levy from 5 pct to 8 pct in April 2014. Another postponement could batter confidence in his administration.

Abe may be criticized if he postpones the hike after he last year proposed using the increased revenue from the tax increase to beef up social welfare programs. Also, he needs to fix tattered state finances.

His policy goals that have yet to be achieved include gross domestic product of 600 trillion yen, a fertility rate of 1.8 and a reduction to zero in the number of people who leave their jobs to take care of their aged parents or other relatives.

Japan's top priority in the diplomatic field for the time being involves how to denuclearize North Korea. Next week, Abe is scheduled to visit the United States, where the U.N. General Assembly session is being held in New York.

He is slated to hold talks with U.S. President Donald Trump on North Korea policy, based on the results of this week's summit between South Korean President Moon Jae-in and North Korean leader Kim Jong Un.

Abe has expressed a strong willingness to meet Kim to resolve the decades-long issue of North Korea's abductions of Japanese nationals.

On the Japan-Russia territorial row, Abe is expected to hold talks with Russian President Vladimir Putin on the sidelines of international meetings in November and December.

Putin abruptly proposed earlier this month that the two nations conclude a peace treaty to formally end their World War II hostilities without any preconditions by the end of this year.

Japan has insisted that the dispute over Russian-held northwestern Pacific islands first needs to be resolved before any peace treaty is signed.

On Japan's relations with China, Tokyo and Beijing are in the final stages of talks on arranging Abe's visit to China next month, which marks the 40th anniversary of the conclusion of a bilateral peace and friendship treaty between the two countries.

Abe hopes that the visit will pave the way for Chinese President Xi Jinping to set foot in Japan for the first time to promote mutual exchanges. Jiji Press