JAPANESE Prime Minister Shigeru Ishiba said today that he will remain in office to address challenges despite his coalition’s election defeat over the weekend. 

The loss left the coalition as the minority in both chambers of parliament and triggered calls for his resignation.

Mr Ishiba’s ruling Liberal Democratic Party (LDP) and its junior coalition partner Komeito fell three seats short of a majority in the 248-seat upper house.

Though the LDP remains the largest party, the coalition’s minority status complicates the passage of legislation.

With the opposition fragmented, Mr Ishiba faces pressure to resign from ultraconservative factions within his own party.

He said his priority is to avoid a political vacuum and focus on pressing issues, including the looming August 1 deadline for a tariff deal with the United States. 

“Challenges such as global situation and natural disaster won’t wait for a better political situation,” he said.

Sunday’s result follows the coalition’s loss of its lower house majority in the October election, amid public frustration over corruption scandals and a failure to address the cost-of-living crisis. 

Rising prices for essentials like rice and stagnant wages have eroded support for the government.

Mr Ishiba said the LDP and Komeito will maintain their coalition while seeking co-operation from the opposition. 

Younger voters have shifted support to emerging conservative and right-wing populist parties. 

The Democratic Party for the People quadrupled its seats with a campaign focused on raising take-home pay. 

And right-wing Sanseito party surged to third place, running on a Japanese First platform that includes stricter immigration controls and opposition to gender and sexual diversity.

Sanseito leader Sohei Kamiya said he is open to working with the ruling bloc on conservative policies and that he plans to build momentum in the next lower house election.

Experts have warned that Sanseito’s rhetoric during the campaign and on social media fuelled xenophobia, attracting discontented voters while alarming rights activists.