As expected, Japan's new Prime Minister Fumio Kishida on Thursday dissolved the House of Representatives, paving the way for a general election on October 31 as the four-year term of the lower house members expires on October 21.
In Japan's post-war history, this will be the first time that a general election is scheduled after the term has expired, and the period between the dissolution of the lower house and the voting day will be the shortest. However, the ruling party is expected to return to power as the opposition is far behind in poll surveys.
Kishida won the presidential election of the ruling Liberal Democratic Party (LDP) on September 29 and was elected as Prime Minister on October 4 in Parliament controlled by the LDP-led coalition.
Kishida wishes to garner wider public support in the general election for his policies to recover the battered economy from the pandemic and to enhance its Covid-19 response. He has said that an economic package worth "tens of trillions of yen" is in preparation to help people and businesses suffering from the pandemic.
In his first policy speech, Kishida vowed to achieve economic growth for the country with his "new form of capitalism" and redistribute the fruits of that success to build up a stronger middle class.
However, he has recently emphasized that Japan needs to first realize economic growth before redistributing wealth. According to a Kyodo News survey, the approval rating for Kishida's Cabinet shortly after its launch stood at 55.7 per cent.
Kishida's pledge to reduce wealth disparities has already been questioned after he expressed to delay his plan to consider raising the rate of capital gains tax.
Opposition demands lower consumption tax
The opposition Constitutional Democratic Party of Japan (CDPJ) has stressed that Japan could not achieve steady economic growth and poverty reduction unless the redistribution of wealth completes first.
The party vowed to increase taxes on rich individuals and large companies while easing the burden on lower- and middle-income households.
The CDPJ has called for a temporary lowering of the consumption tax from the current 10 per cent to 5 per cent and effectively exempting people who earn less than around 10 million yen ($88,063) annually from paying income tax.
(With inputs from IANS)
