Fri Mar 14 06:56:49 UTC 2025: **Japan’s Prime Minister Faces Backlash Over Gift Certificates, Jeopardizing Budget and Election Prospects**
TOKYO, March 14, 2025 – Japanese Prime Minister Shigeru Ishiba is facing mounting pressure after admitting to gifting 100,000 yen ($673) gift certificates to 15 ruling party lawmakers. The revelation, which came to light on March 13th, has sparked public outrage and threatens to derail the passage of the next fiscal year’s budget and harm his already low approval ratings (currently 36%, down from 44% in February).
Ishiba, speaking in parliament today, apologized for the action, claiming the gifts were a personal “show of appreciation” and not a violation of any laws. However, his explanation has been met with criticism from within his own Liberal Democratic Party (LDP) coalition and calls for his resignation from opposition parties.
The timing of the scandal is particularly damaging. Japan is facing economic headwinds stemming from the escalating US-China trade war, and analysts at Mizuho Securities warn that domestic political uncertainty could further destabilize the markets. The upcoming upper house election in July adds further pressure, as Ishiba’s already slim majority could be at risk.
The controversy threatens to delay the passage of the budget, which is facing an end-of-March deadline. Failure to pass the budget on time would force the implementation of a stop-gap budget, severely impacting Ishiba’s standing and the nation’s economy. LDP Diet Affairs Committee chairperson Tetsushi Sakamoto expressed concern that the gift issue could hinder the budget’s timely approval.
While Japan’s economy showed robust growth in the final quarter of last year, analysts predict a slowdown to a mere 0.4% growth this year due to rising living costs and weakening global demand. The political turmoil caused by this scandal further complicates an already challenging economic outlook.
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