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Edition: U.S. Article Comments (1) Full Focus Editor's choice A selection of our top photos from the past 24 hours. Full Article Follow Reuters Facebook Twitter RSS YouTube Read Alleged Weiner nude photo released by radio hosts 12:55am EDT Citi says hackers access bank card data 7:17am EDT Record exports temper slowdown fears 11:41am EDT Regulators pressuring banks after Citi data breach 11:01am EDT Taxes on the menu in debt-reduction talks 3:25am EDT Discussed 75 ”The world is getting warmer”: Romney 70 Moody’s sounds alarm over U.S. debt limit and deficits 68 U.S. debt default unimaginable, creditors say Watched Bodypainters apply their skill Mon, Jul 19 2010 Obama leads Republican rivals in Presidential poll 9:30am EDT Four-year-old takes art world by storm Mon, Jun 6 2011 Japan finance minister a frontrunner to be next PM Tweet Share this Email Print Factbox Five facts about possible Japan PM candidate Noda 4:49am EDT Analysis & Opinion Club for Growth slaps Romney economic record Japan’s widow-maker bond trade still looks lethal Related Topics World » Japan » Japanese Finance Minister Yoshihiko Noda (2nd R) talks with Prime Minister Naoto Kan (R) as lawmakers walk past them before a regular session at the lower house of parliament in Tokyo June 9, 2011. Credit: Reuters/Kim Kyung-Hoon By Leika Kihara TOKYO | Thu Jun 9, 2011 6:11am EDT TOKYO (Reuters) - Japanese Finance Minister Yoshihiko Noda emerged on Thursday as a frontrunner to replace the increasingly unpopular Prime Minister Naoto Kan, possibly this month. But even if the 54 year-old -- the voice of fiscal discipline in the ruling party -- does get the job, some doubt he will do any better than Kan in forming an alliance with the opposition to break the political impasse blocking policies to deal with a nuclear disaster and huge public debt. The Asahi newspaper said senior ruling Democratic Party officials wanted to nominate Noda as candidate in a party leadership election when Kan steps down, possibly later this month, and that Noda himself is keen to run. Kan, in office for one year as Japan's fifth prime minister in as many years, last week survived a no-confidence vote by saying he would step down. But he did not specify when. Rivals in his own party as well as the opposition want him out this month, clearing the way for a coalition with the main opposition Liberal Democratic Party (LDP). WHO'S NODA? Many view a "grand coalition" as the best chance to break the logjam in parliament, where the opposition controls the upper house, and secure funding for Japan's biggest rebuilding efforts since the years after the World War Two. Katsuya Okada, the DPJ's secretary-general who the Asahi said is backing Noda, denied the report, while Noda declined to comment when asked about it. "The prime minister needs to negotiate with the opposition to pass the debt-issuance bill and shouldn't take a day longer to resign. To do so would be for the benefit of the country and for disaster management," party elder Kozo Watanabe was quoted by Jiji news agency as saying. Noda has backed Kan's push for tax reforms, including a sales tax increase, to fund the rising social security costs of an aging population and rein in the debt, which at twice the $5 trillion economy is the worst among advanced economies. "Markets will like Noda as prime minister. He will try to push through tax hikes and fiscal reforms," said Takeshi Minami, chief economist at Norinchukin Research Institute. "But ruling party lawmakers themselves cannot agree on anything. I don't see how ruling and opposition parties could start to work together, even under Noda." Whoever succeeds Kan will have to cope with the aftermath of the March 11 earthquake and tsunami that ravaged northeast Japan and triggered a radiation crisis at Tokyo Electric's Fukushima nuclear plant and swelling debt. In the latest sign that the struggle to bring Japan's economy back on its feet was far from over, trade ministry officials warned that all 54 of the nation's nuclear reactors could be shut by next April. That would inflate Japan's energy costs and pose a risk to the nascent recovery from its second recession in three years. Senior ruling party officials have agreed to hold a party election in early July on the assumption that Kan would step down by end-June, the Asahi said. Analysts said Noda would be acceptable to the opposition LDP and that his election could smooth the way to pass bills to issue bonds to fund the budget deficit for this fiscal year and a second extra reconstruction budget. But Noda lacks public appeal. "He's neatly positioned," said Sophia University professor Koichi Nakano. "On the other hand, in terms of name recognition with ordinary Japanese, it's close to zero." (Additional reporting by Chisa Fujioka, writing by Linda Sieg; Editing by Jonathan Thatcher / Daniel Magnowski) World Japan Tweet this Link this Share this Digg this Email Reprints We welcome comments that advance the story directly or with relevant tangential information. We try to block comments that use offensive language, all capital letters or appear to be spam, and we review comments frequently to ensure they meet our standards. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. Comments (1) nieldevi wrote: Pretty much like the U.S., can’t agree on anything. And everybody is so busy trying to pull off a coup, there’s no time to take care of the problems. And there are plenty of problems. Everything is going down the tubes because of a bunch of babies squabbling over who gets the milk. The real problem with the Prime Minister’s position is that there are no real leaders in this society of obedience to the “group”. But even if there were, nepotism is a fundamental tradition that must be followed out of respect for those bygone generations. The son follows in the father’s footsteps. Unfortunately, the father’s have neglected to provide for their son’s educations in practical management. The large corporations have been tasked with providing the riches and maintaining the economy and with many jobs going overseas, the corporations no longer employ as much domestic labor, thus the economy tends to stagnate. Coincidentally, a similar story that of America’s? As soon as they elect one President, the opposition plays piggy-pile-on and tries their best to sabotage everything. Until everybody gets tired of waiting for the little boys to stop fighting with each other and elects another President. Here is slightly different in the fact that the people do not vote for the PM directly, so the infighting of political parties never ends and they remove and replace the PM every time the opposition party gets enough votes (roughly once a year). Oh well, boys will be boys… Jun 09, 2011 2:50am EDT -- Report as abuse See All Comments » Add Your Comment Social Stream (What's this?) © Copyright 2011 Thomson Reuters Editorial Editions: Africa Arabic Argentina Brazil Canada China France Germany India Italy Japan Latin America Mexico Russia Spain United Kingdom United States Reuters Contact Us Advertise With Us Help Journalism Handbook Archive Site Index Video Index Reader Feedback Mobile Newsletters RSS Podcasts Widgets Your View Analyst Research Thomson Reuters Copyright Disclaimer Privacy Professional Products Professional Products Support Financial Products About Thomson Reuters Careers Online Products Acquisitions Monthly Buyouts Venture Capital Journal International Financing Review Project Finance International PEhub.com PE Week FindLaw Super Lawyers Attorney Rating Service Reuters on Facebook Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds information available on Reuters.com, video, mobile, and interactive television platforms. Thomson Reuters journalists are subject to an Editorial Handbook which requires fair presentation and disclosure of relevant interests. NYSE and AMEX quotes delayed by at least 20 minutes. Nasdaq delayed by at least 15 minutes. For a complete list of exchanges and delays, please click here.

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