Japan's ruling Liberal Democratic Party selects new leader likely to become youngest prime minister since World War I

Japan's ruling Liberal Democratic Party (LDP) is conducting a leadership election to choose a new party president who is almost certain to become the country's next prime minister amid political instability and economic challenges. The main contenders include Shinjiro Koizumi, a moderate and son of a former prime minister, and Sanae Takaichi, a conservative nationalist inspired by Margaret Thatcher, with a close runoff expected between them. Koizumi advocates for containing cost-of-living issues without compromising fiscal discipline, while Takaichi supports more aggressive fiscal stimulus and a hardline stance on foreign policy, particularly toward China. The party faces the challenge of regaining trust after losing its majority in both houses of parliament and dealing with rising populist opposition that criticizes immigration policies. Both Koizumi and Takaichi have addressed concerns about immigration, tapping into voter anxieties that are rare in Japan, where foreigners constitute just three percent of the population. The winner will inherit a party in crisis and must navigate Japan's complex issues, including an ageing population, geopolitical tensions, and a faltering economy.