TOKYO, Jan 4: Japan’s unpopular Prime Minister Taro Aso signalled on Sunday he would not call elections at least for a few months, pledging instead to tackle the worsening economic crisis.

The opposition has been pressing Aso to dissolve parliament immediately for snap polls, seeing a chance finally to unseat his long-dominant Liberal Democratic Party (LDP).

But holding a news conference on the eve of a potentially tense new parliament session, Aso said: “It is clear that economic measures are what we must be in a hurry to do.

“It is important to pass budgets and related bills. I have no plan to dissolve (parliament) until then.” Aso, however, stopped short of announcing when exactly he planned to call elections, saying only: “Taro Aso will make the decision.” The government must call a general election by September.

Ichiro Ozawa, head of the main opposition Democratic Party, said there was a growing demand from voters for an election. “It will grow into a strong voice overwhelming the prime minister’s mere intention to hang on to power.” Parliament convenes on Monday for a session in which the ruling coalition will submit budget bills that it hopes to pass by the end of the financial year ending March 31.

The government has proposed a record 88.55 trillion yen ($965 billion) budget for next year including tax cuts, cash rebates and other incentives aimed at stimulating the world’s second largest economy.

However, legislation in Japan has often hit gridlock since the opposition took control of the less powerful upper house of parliament in July 2007.

Analysts say chances are high that the ruling coalition would suffer a major defeat in the closely watched general elections even if Aso delays the timing further.

“Scepticism is growing in the ruling coalition about a victory in the elections under the leadership of Aso,” said Yoshikazu Sakamoto, emeritus professor of politics at the University of Tokyo.

“His political influence appears declining,” Sakamoto said. “I think a power change is now likely in Japan. Aso is set to face tough times ahead.” In an unusual move at the televised news conference, Aso wrote the characters for “peace of mind” and “vigour” in traditional calligraphy, saying they were his cabinet’s slogans for the new year.

Aso took office little more than three months ago but his popularity has already tumbled to around 20 per cent with voters critical of his handling of the economy and a series of gaffes by the conservative leader.

Aso, who is from a wealthy family, has been accused of not appearing sympathetic to struggling people.

“Marking the beginning of the year, I am renewing my intention to create a new country,” Aso said.

“My goal remains unchanged. With strong determination, I would like to tackle the crisis and meet people’s expectations,” he added. “I’m determined to do my best to protect people’s lives.” Japan has much to worry about in the year ahead, with the global slump already causing the economy to contract for two quarters. Major exporters such as Toyota and Sony have been cutting costs and slashing jobs.

Aso’s LDP has been in power for all but 10 months since 1955. But its popularity has rapidly dwindled -- Aso is the third LDP prime minister to take charge in little over two years.

The LDP’s woes have led senior members of the party to openly hint they could defect, either siding with the opposition or forming a new group to reshape Japan’s political landscape.—AFP