InfoAnda - Japan press welcomes cabinet but warns on yen, China

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Yahoo! My Yahoo! Mail More Yahoo! Services Account Options New User? Sign Up Sign In Help Yahoo! Search web search Home Singapore Asia Pacific World Business Entertainment Sports Technology Australia China India Indonesia Japan Malaysia Philippines Thailand Vietnam Japan press welcomes cabinet but warns on yen, China AFP - 1 hour 3 minutes ago Send IM Story Print Japan press welcomes cabinet but warns on yen, China TOKYO (AFP) - – Japanese newspapers broadly welcomed Prime Minister Naoto Kan's new cabinet Saturday but warned ministers had to work hard to tame a booming yen and put a lid on a damaging territorial row with China. Kan, who this week survived a bruising leadership challenge from a party heavyweight, named his new line-up on Friday in a bid to stamp his authority on a role he inherited just three months ago. The hawkish Seiji Maehara was given the task of leading the charge in the escalating dispute with Beijing over the arrest of a Chinese trawlerman in disputed waters. He replaces Katsuya Okada, who moves into a key party position to shore-up Kan's control over his sometimes indisciplined parliamentary group. Finance Minister Yoshihiko Noda kept his job as Kan looked to maintain momentum following this week's intervention in the currency markets aimed at dampening the soaraway currency. New ministers were appointed in justice, trade, education, health, agriculture, tourism and consumer affairs. "On the whole, the line-up is a balanced one," the liberal Mainichi Shimbun said in an editorial. "We hope the cabinet will spare no efforts from the start." Kan consulted close aides on Saturday to prepare for a summit with US President Barack Obama in New York on the sidelines of the United Nations General Assembly next week, local media said. Editorial writers applauded the depth of experience in the cabinet, with the Asahi Shimbun saying its domination by parliamentary veterans meant there was a clear "emphasis on stability". But the Yomiuri Shimbun, Japan's biggest selling paper, warned Japan's economic malaise meant experience alone would not be enough. "The cabinet must work hard on resolving domestic and foreign issues. Priority should be placed on measures to handle the strong yen and the economy." The Kan administration Wednesday launched a massive currency intervention to stem the damaging rise of the currency, which has left exporters squealing and threatens to put the brakes on a timid economic recovery. The intervention, the first since 2004 and worth a reported two trillion yen, came despite efforts to trim the national budget, with public debt close to 200 percent of gross domestic product. The Mainichi said Kan should redouble his efforts to cut out waste in public spending and free up cash for hosing down the yen and battling the crippling deflation that has beset the economy. Newspapers were united in their view that the worsening row with China over the arrest of a Chinese fisherman in the East China Sea needed urgent attention. Beijing has launched a series of diplomatic protests -- five times calling in the Japanese ambassador for a dressing down -- and cancelled official visits to Tokyo over the incident near what Japan calls the Senkaku islands, but which are known as Diaoyu in China. "China has been high-handed on the issue," the Yomiuri said. "We hope the cabinet will stand firm and insist on what it should insist on," a reference to Japan's claim to the uninhabited islands with rich fishing and mineral resources. The shake-up in ministerial and party posts was also a chance for Kan to shore up his authority on the year-old centre-left government and sideline his vanquished rival, Ichiro Ozawa, in the ruling Democratic Party of Japan (DPJ). Ozawa -- a veteran powerbroker and leading faction boss who failed in his bid to oust Kan in the party's internal election on Tuesday -- has not been named to any senior posts, and neither have many of his allies. The felling of a man unpopular with voters was dubbed "a natural choice" by the heavyweight Nihon Keizai Shimbun. The paper said Kan's move was intended to signal a new "Ozawa-free" direction for the government. 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