Sanae Takaichi favors looser fiscal and monetary policies, raising expectations that Tokyo will issue more debt while the central bank rethinks rate hikes.

She was elected LDP president on Saturday after winning a run-off vote against Shinjiro Koizumi, the son of a former prime minister.

Takaichi, likely to become Japan’s first female PM, is a rightwinger who has been critical of China and focused on migration in her campaign