PM Takaichi Instructs SDF Leaders on Defense Buildup, Orders Rapid Introduction of AI and Unmanned Equipment

PM Takaichi Instructs SDF Leaders on Defense Buildup, Emphasizes Rapid Introduction of AI and Unmanned Equipment At a meeting of SDF commanders and senior officers, she referred to the three security-related documents to be revised within the year and indicated her intention to accelerate the introduction of AI and unmanned assets, saying 'the pace of progress is completely different from the past.' She also emphasized the need for public understanding and cooperation, as well as improving the treatment of SDF personnel, whose ranks continue to fall short of full capacity. 123

Long-Term Rates at 3% Push National Debt Service to Record 36.64 Trillion Yen, Market Pressure on Takaichi's Fiscal Policy The 10-year government bond yield has reached the 3% range for the first time in 30 years, and national debt service costs for fiscal 2027 are expected to rise 17.1% to a record 36.64 trillion yen. The Finance Ministry will raise the assumed interest rate for interest payment calculations to 3.8%. The market is wary of funding shortfalls for the Takaichi administration's consumption tax cuts and investment plans. 4

LDP to Keep Secretary-General Suzuki and Chief Cabinet Secretary Kihara in Late-September Reshuffle Multiple government executives have testified that calls are growing for the reappointment of Secretary-General Shunichi Suzuki. With an eye to maintaining coordination with Vice President Aso and next year's party presidential election, Chief Cabinet Secretary Kihara is also expected to remain in his post. Arrangements are also progressing to appoint members of coalition partner Ishin to cabinet, vice-minister, and parliamentary secretary posts. 56

Komeito's Takeya Apologizes for Not Joining Merger; LDP Seeks to Win Over Komeito with Consumption Tax Cut At the party's Central Executive Committee, Representative Takeya explained that the Constitutional Democratic Party had indicated it would not join the merger first, and that if only Komeito joined, it would cause defections and run counter to building a larger centrist bloc. With the ruling coalition four seats short of a majority in the Upper House, the LDP expects Komeito to support consumption tax cuts. Ishin Representative Yoshimura demanded the return of over 100 million yen in crowdfunding for the centrist bloc. 78

Online Casino 'Reaslo' Hit in Nation's First Crackdown; Six Suspected 'Tokuryu' Members Arrested Shizuoka Prefectural Police arrested six people, including a restaurant owner in Hamamatsu City, on suspicion of habitual gambling. The app was distributed through SNS advertisements, and about 170 people are believed to have used it, betting a total of over 100 million yen. Police are also investigating the possibility that part of the proceeds was paid up to higher-ups. 9

Election Violation Allegations Against Economic Security Minister Onoda; Possible Use of Undeclared 'Setouchi Office' Weekly Bunshun reported that in the 2022 Upper House election, Onoda's camp used an undeclared office for election activities. A local assembly member testified that it was used for campaign vehicles and compiling recommendation letters, but Onoda's side denies this. If found in violation of the Public Offices Election Act, a fine of 300,000 yen is possible. 10

Both Government-Designated Cities Pass Unusual Resolution Demanding 'Restoration of Trust' in Fukuoka Prefectural Assembly; Speaker Election Stalls In response to allegations of money exchanges over the posts of speaker and vice speaker, the Fukuoka City and Kitakyushu City assemblies passed a resolution demanding the restoration of trust. With the speaker's post vacant following the resignation of former Speaker Kurauchi, the LDP is fielding a fourth-term assembly member, but finding a candidate is proving difficult. 11