No one gets a majority in Japan's election, uncertainty over government formation

    Elections for the lower house of parliament were held in Japan on Sunday

No party secured the necessary majority in the election to the lower house of Japan's parliament. Voters overwhelmingly rejected the country's current Prime Minister Shigeru Ishiba's ruling coalition. In such a situation, there is uncertainty about the formation of the government in the world's fourth largest economy. 

The Japanese currency, the yen, hit a three-month low on uncertainty. Because, investors and analysts fear, this uncertainty around the formation of the government may last for a few days or a few weeks.

Ishiba's Liberal Democratic Party (LDP) and its coalition partner Komeito won 215 seats in the lower house of parliament. Their number of seats has decreased compared to the previous time.

Earlier their number of seats in the lower house of parliament was 279. Many voters rejected them amid funding scandals and a cost-of-living crisis.

Two ministers and Komeito leader Keiichi Ishita lost their seats in the election.

The main opposition party, the Constitutional Democratic Party of Japan (CDPJ), won the most seats in the election.

Their number of seats increased to 148. Earlier their number of seats was 98. However, they are still behind the majority. 233 seats are required to ensure majority.

According to constitutional rules, parties will have 30 days to form a coalition to form the government. Ishiba, who became the prime minister more than a month ago, remains uncertain about how long he will be able to stay in power. The achievements of small parties in the elections are also significant. Their role in the discussion can also become important.

Tobias Harris, founder of political risk consultancy Japan Foresight, said, "Whether Prime Minister Shigeru Ishiba resigns as LDP leader today or not, it seems unlikely that he will survive as Prime Minister in the new government." But he can stay as a supervisor.'

Ishiba is scheduled to hold a press conference at around 2pm local time today. Before the election, the LDP had planned to call a session in Parliament to elect the Prime Minister on November 7. This information has been reported by local Japanese media sources.

CDP leader Yoshiko Noda said she would work with other parties to try to oust the defectors. Analysts, however, say the possibility is much more remote.

Ishiba was elected as LDP chief last month. His party has ruled Japan for seven decades. But on October 1, Ishiba, a 67-year-old former defense minister, became Japan's prime minister after a fierce intra-party contest. He then announced early elections promising a new Japan. Voting took place yesterday.