Voters' economic fears lead to a bruising election defeat for Japan's Prime Minister,

but he says he's not going anywhere.

Live from the BBC World Service, this is the Marketplace Morning Report.

I'm Luke Wilson in for Leanna Byrne. Good morning.

Japanese Prime Minister Shigoro Ishiabur has described the result as a harsh verdict.

His governing coalition lost its majority in the Upper House of Parliament, their Senate,

after losing control of the more powerful lower house of representatives last October.

Mr Ishiber says with the threat of extra US tariffs and rising inflation,

there are too many pressing issues

to resign. The BBC Shai Ma Khalil reports from Tokyo. This is a painful blow to a leader who's

now lost control of Japan's legislative process and who struggled with consistently low approval

ratings since he took office in October. While there is discontent within the ruling party itself about his

leadership, the Prime Minister will remain in power, albeit significantly weakened. Mr. Ishiba said

the government faces a tough road ahead, with Japan's tense trade negotiations with the U.S.

and the deadline for a 25% tariff fast approaching. Tackling rising prices has been a major concern for voters,

who've criticised how slow the government has been in dealing with inflation.

The Populous Sancetto Party, which has been using social media to attract young voters,

has made significant gains.

The right-wing party's Japanese first slogan has struck accord with many conservatives online,

although its hardline stance on foreigners and immigration has been described as xenophobic.

Shima Khalil there. Tarokono is a member of parliament for Mr. Ishiba's ruling party

and a former Japanese foreign minister and defense minister.

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