27 Dec 2012

Japanese leader promises bold economic policies

12:56 pm on 27 December 2012

Japan's new prime minister Shinzo Abehas named his cabinet and says he will take steps to give Japan's economy a much-needed boost.

One of the most notable appointments is that of former premier Taro Aso as finance minister, the BBC reports.

The move came shortly after parliament approved Mr Abe as prime minister following the resounding election victory of his Liberal Democratic Party.

Mr Abe promised bold economic policies to tackle deflation and said he would strengthen ties with the United States.

Analysts say the cabinet includes a number of Mr Abe's close allies as he eyes the task of pulling Japan out of a prolonged economic slump.

Former trade and industry minister Akira Amari has been named minister for economic revival and veteran Toshimitsu Motegi was chosen for the post of trade minister.

Some reports say he will be put in charge of energy policy in the aftermath of last year's Fukushima nuclear disaster.