Japan’s Prime Minister Ishiba Denies Resignation Rumours

Japanese Prime Minister Shigeru Ishiba has strongly dismissed speculation that he plans to resign, following a significant electoral setback that has left his ruling coalition weakened. Speaking on Wednesday, Ishiba labeled the media reports suggesting his impending resignation as “completely baseless” and affirmed his commitment to staying in office.

The rumors gained traction after the Liberal Democratic Party (LDP), led by Ishiba, and its junior partner Komeito, lost their combined majority in the upper house of Japan’s parliament during Sunday’s elections. This loss comes on the heels of a similar defeat in the lower house last year, meaning Ishiba’s government no longer controls either chamber of the legislature.

Despite the pressure mounting within his party, Ishiba stated that stepping down now would only destabilize the government. He emphasized the need for continuity, especially to ensure the smooth implementation of a major trade agreement recently signed with the United States. The deal, announced on Tuesday alongside U.S. President Donald Trump, involves significant tariff reductions on Japanese automobiles and other key goods.

Several Japanese media outlets, including Mainichi and Yomiuri newspapers, had reported that Ishiba would likely announce his resignation by the end of August. These claims were further fueled by the disappointing election results and growing dissatisfaction within the LDP. However, Ishiba clarified that no such resignation plan had been discussed in his meetings with senior party leaders and former prime ministers.

Nevertheless, the political climate around Ishiba is becoming increasingly fraught. Rising opposition parties, such as the far-right Sanseito, made unexpected gains in the election, securing 14 seats in the upper house—up from just one. The party’s nationalist and anti-immigration platform appears to have resonated with a segment of the electorate, further eroding support for the LDP.

The uncertainty surrounding Ishiba’s leadership has also triggered anxiety in financial markets. On Wednesday, demand for long-term Japanese government bonds fell sharply, with 10-year yields reaching their highest level in 17 years. Analysts attributed the market movement to fears of impending political instability should Ishiba be forced to step aside.

While the prime minister has vowed to remain in office for the foreseeable future, the political turbulence sparked by the election results suggests that his leadership will continue to face challenges in the coming weeks. Whether he can maintain his grip on power or be pushed toward resignation by internal party dissent remains to be seen.