Inside the LDP-Ishin no Kai Coalition Agreement

On October 20, 2025, Japan’s ruling Liberal Democratic Party (LDP) and Nippon Ishin no Kai signed a coalition agreement outlining the roadmap for a new joint government.

The agreement marks a historic realignment in Japanese politics, bringing together the long-dominant LDP and the reform-minded Ishin no Kai under a shared vision of national revival. It establishes policy cooperation across a wide range of areas, including constitutional revision, defense buildup, fiscal and social security reform, and governance restructuring, to build a "strong and independent Japan" capable of responding to intensifying domestic and international challenges.

Under this accord, the two parties pledge to cooperate in the Prime Minister's designation vote during the 2025 extraordinary Diet session, effectively formalizing the creation of a new LDP–Ishin coalition government.

An unofficial complete translation of the signed agreement follows.

The Agreement

The Liberal Democratic Party (LDP) and Nippon Ishin no Kai (Ishin), recognizing that our nation faces an unprecedentedly severe situation both domestically and internationally, have reached the following agreement. Sharing a common national vision, we have decided to transcend partisan divisions to form a stable administration capable of overcoming the national crisis and leading Japan's revival.

We believe in Japan's latent strength and commit to full cooperation toward this goal.

To overcome the most difficult and complex postwar security environment, Japan must strengthen and enrich its national foundation and pursue domestic and foreign policies that advance the path toward a proud and independent nation.

As an independent state, Japan will continue to uphold the Japan–US alliance as the cornerstone of its security, support strategic stability in the Far East, and contribute to global peace and security. This requires not only resolve, but also a realistic understanding of how to protect our people, peace, and independence. Both parties share this realistic worldview and security perspective.

Furthermore, both parties share the view that economic growth must improve the lives of the people. We will pursue responsible yet proactive fiscal policies that expand effective public–private investment, while reforming government spending through a review of its excessive size and inefficiencies to better address social challenges.

Eighty years after the end of the war, Japan must address the unresolved issues that have accumulated during the process of shaping the nation's form. At the same time, reforms are urgently needed to resolve the long-standing challenges that have hindered economic progress over the past thirty years since the end of the Cold War.

As part of this effort, the two parties have agreed to swiftly implement people-centered economic measures and, over the medium to long term, advance structural reforms, including constitutional, security, social security, and governance reforms, that will form the foundation of Japan's future development.

The realization of these policies will require broad public support. While continuing sincere discussions with other parties, the LDP and Ishin will establish a working-level coordination body to refine and implement this agreement.

Both parties also pledge cooperation in the Prime Minister's designation vote during the 2025 extraordinary Diet session to form a coalition government.

Dated: October 20, 2025

Signed by:

Sanae Takaichi, President of the Liberal Democratic Party

Hirofumi Yoshimura, Representative of Nippon Ishin no Kai

Fumitake Fujita, Co-representative of Nippon Ishin no Kai

I. Economic and Fiscal Policy

Abolish the temporary gasoline tax rate during the 2025 extraordinary Diet session.
Compile urgent anti-inflation measures, including subsidies for electricity and gas, and pass a supplementary budget during the same session.
Shift to an inflation-responsive economic policy with comprehensive measures, including revising income tax deductions to reflect inflation by the end of 2025.
Introduce a refundable tax credit scheme promptly.
Conduct a full review of special tax measures and large subsidies, abolishing those with limited policy impact. A new Government Efficiency Bureau (provisional name) will be established for this purpose.
Consider temporarily exempting food items from consumption tax for two years.
The parties agree not to provide uniform cash handouts (¥40,000 JPY, or $270 USD, to low-income earners and ¥20,000, or $130, to others, as proposed under the former LDP-Komeito coalition).

*LDP President Sanae Takaichi (right) shakes hands with Ishin Co-Leader Fumitake Fujita; Leader Hirofumi Yoshimura is seen in the back left, October 20 at the Diet (©Sankei by Ataru Haruna).*

II. Social Security Policy

Implement the reforms outlined in previous tripartite agreements on medical and fiscal policy during 2025, aiming to halt and reverse increases in insurance premiums for the working generation.
Share the sense of urgency over the rapid increase in social security spending and agree to hold regular bilateral discussions to advance fundamental reforms.
By the end of FY2025, agree on key elements of reform, including

- - Fiscal soundness measures and system adjustments under inflation.
  - Strengthening the authority and role of insurers and prefectures, including the integration of medical and nursing care systems.
  - Reform of the Central Social Insurance Medical Council for greater patient participation and data-driven design.
  - Fairer medical co-payment system based on ability to pay, not age.
  - Redefinition of "elderly" to enable continued employment regardless of age.
  - Sustaining regional healthcare and caregiving services under population decline.
  - Maintaining universal health insurance while exploring roles for private insurance.
  - Strengthening university hospital functions and providing proper remuneration for medical staff.
  - Stabilizing management of advanced medical institutions.
  - Revising the Category 3 Insured Persons system in line with rising non-marriage and spousal employment trends.
  - Establishing cost-effectiveness metrics for medical services.
  - Reviewing rules on medical institutions' for-profit operations.
  - Reviewing consumption tax burdens on advanced medical equipment.
  - Implement measures to improve the financial condition of hospitals and care facilities under inflationary pressures.

III. Imperial Household, Constitution, and Family System

Based on the historical weight of unbroken male-line succession, maintain the current order of succession. As the top priority, pursue revision of the Imperial House Law by 2026 to allow adoption of male descendants of the imperial lineage to ensure stable succession.
Establish a joint drafting committee on Article 9 constitutional revision during the 2025 extraordinary Diet session.
Establish a joint drafting committee on emergency clauses and executive powers, and prepare a bill for 2026.
Create permanent constitutional drafting committees within both chambers' Constitutional Commissions.
Design institutional frameworks for informing the public on referendums, CM/Internet regulation, and related laws.
Maintain the family register system and shared surname principle, but create a legal system recognizing the validity of maiden name use and submit a bill during the 2026 ordinary Diet session.
Enact a National Emblem Protection Law to criminalize damage to the Japanese national emblem and correct the current imbalance where only damage to foreign emblems is punishable.

IV. Foreign Affairs and National Security

Revise Japan's three strategic documents (National Security Strategy) ahead of schedule.
Establish a peace mediation division within the Ministry of Foreign Affairs in FY2025.
Strengthen deterrence through rapid deployment of long-range counterstrike missiles and develop next-generation nuclear-powered submarines with VLS capability.
Streamline the Self-Defense Forces' structure and enhance integrated operational command.
Abolish export restrictions under the Three Principles on Transfer of Defense Equipment and promote GOCO (Government-Owned, Contractor-Operated) defense facilities.
Establish a pension system for SDF personnel, and standardize SDF ranks, uniforms, and job categories to international norms by FY2026.

V. Intelligence Policy

Strengthen Japan's weak intelligence framework through comprehensive reform.
Elevate the Cabinet Intelligence and Research Office to establish a National Intelligence Agency (NIA) and Director of National Intelligence, equal in rank to the National Security Secretariat.
Establish a National Intelligence Council under law by 2026.
Create an independent Foreign Intelligence Service by FY2027.
Establish a cross-ministerial Intelligence Officer Training Institute by FY2027.
Begin deliberations in 2025 to enact an Intelligence and Anti-Spy Legal Framework, including:

- - Basic Intelligence Law
  - Foreign Agents Registration Act
  - Lobbying Disclosure Act

VI. Energy Policy

Restart nuclear power plants with safety as the top priority.
Accelerate development of next-generation reactors and fusion technology.
Promote geothermal and renewable energy where Japan has comparative advantages.
Accelerate domestic marine resource and energy development.

VII. Food Security and Land Policy

Promote full utilization of farmland and large-scale investment in plant factories and land-based aquaculture.
Preserve Japan's natural environment and regulate large-scale solar power plants (mega-solar) through new legislation by 2026.

VIII. Economic Security

Strengthen the resilience of undersea cables in the Nansei Islands.

IX. Population and Immigration Policy

Recognize population decline as Japan's greatest challenge.
Establish a Population Decline Countermeasures Headquarters in the Cabinet during the 2025 extraordinary Diet session to formulate and execute comprehensive measures, including child and family support.
Based on the principle of strict response to law-breaking foreigners, implement the following:

- - Appoint a minister in charge of foreign resident affairs.
  - Set quantitative targets and policies for foreign resident management and publish a national population strategy by FY2026.
  - Strengthen enforcement against illegal activities by foreigners.
  - Prevent misuse and abuse of immigration-related systems.
  - Establish a Japanese version of CFIUS (Committee on Foreign Investment) in 2026.
  - Submit legislation in 2026 to tighten land acquisition restrictions by foreign individuals and entities.

X. Education Policy

Implement high school tuition-free education from April 2026, finalizing design by October 2025.
Implement free school lunches in elementary schools from April 2026.
Expand childcare and child-rearing support per the tripartite agreement reached in 2025.
Reform high school education through a national Grand Design, ensuring both access and quality.
Optimize the number and scale of universities in light of population decline.
Expand funding for basic research and science as the foundation of Japan's scientific and technological innovation.

XI. Governance Reform

Establish a backup system for Tokyo's crisis management functions and promote multi-polar regional development.
Set up a joint task force during the 2025 extraordinary Diet session to define the roles of the capital and sub-capitals, and enact relevant legislation by 2026.

XII. Political Reform

On corporate and organizational donations, the LDP maintains a policy of "transparency over prohibition," while Ishin calls for "complete abolition."

Both share the concern that large donations may distort policy decisions and agree to pursue a system that restores public trust.

A joint study group and a third-party committee will be established during the 2025 extraordinary Diet session, aiming for a conclusion within President Takaichi's term.

- - Study the establishment of a Political Party Law to clarify party governance.
  - Submit a bill during the 2025 extraordinary Diet session to reduce the number of House of Representatives members by 10%.
  - Review the electoral system, including possible abolition of the current mixed-member system and introduction of a multi-member district system.
  - A joint study group will be established by the end of FY2025.

For all other policy matters, both parties will continue sincere consultations.

Reported by: Daniel Manning