Japan's Prime Minister Kishida to resign, paving way for new leader

Tokyo (Reuters): Japan's Prime Minister Fumio Kishida said he will step down next month, succumbing to public disaffection over political scandals and rising living costs that marred his three-year term, and triggering a contest to replace him.

"Politics cannot function without public trust. I made this heavy decision thinking of the public, with the strong will to push political reform forward," he said in a press conference to announce his decision not to seek re-election as the Liberal Democratic Party (LDP) leader.

The LDP will hold a contest in September to replace him as president of the ruling party, and by extension as the prime minister of Japan.

Kishida ratings started to slide rapidly after he took office in 2021 following revelations about the LDP's ties to the controversial Unification Church. His popularity took a further hit as a slush fund of unrecorded political donations made at LDP fundraising events came to light.

He also faced public discontent over the failure of wages to keep pace with rising living costs as the country finally shook off years of deflationary pressure.

"An LDP incumbent prime minister cannot run in the presidential race unless he's assured of a victory. It's like the grand champion yokozunas of sumo. You don't just win, but you need to win with grace," said Koichi Nakano, political science professor at Sophia University.