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Japan party set to choose new PM Taro Aso set to become Japan PM
(20 minutes later)
Members of Japan's ruling Liberal Democratic Party (LDP) are meeting to vote for a new leader to replace outgoing Prime Minister Yasuo Fukuda. Members of Japan's ruling party have selected a bluff conservative, Taro Aso, as their new leader, meaning he is almost certain to be the next PM.
The winner will become the country's third prime minister in two years - and is expected to call a general election almost immediately. Mr Aso advocates greater public spending to promote the economy, and an assertive foreign policy.
There are five candidates in the race, but former foreign minister Taro Aso is the favourite to win. He easily defeated his four Liberal Democratic Party rivals in the race for party leadership.
The LDP has governed Japan almost continuously since 1955. The LDP is struggling to combat a long-term slump in public popularity, and early elections are now likely.
But the main opposition Democratic Party (DPJ) made big gains in recent elections and controls the upper house of parliament. Its last two prime ministers have quit after serving just a year each.
The political deadlock caused by the opposition's popularity eventually forced Mr Fukuda to resign after less than a year in the job.
Economy worries
He had become prime minister after his predecessor, Shinzo Abe, abruptly resigned citing health reasons.
America is facing a financial crisis... we must not allow that to bring us down as well Taro Aso LDP race: The candidates Profile: Taro Aso
The BBC's Chris Hogg, in Tokyo, says the resignations have led critics to complain that the party is out of touch and lacks a proper mandate to govern.
The LDP's recent slump in popularity has led some to suggest that the party could be on the verge of losing power - an almost unthinkable prospect for most of the past 50 years.
Our correspondent says there is little doubt that the LDP will select Mr Aso as its leader.
Newspaper polls have suggested that Mr Aso has secured two thirds of the votes from the party chapters and has the support of 60% of law makers.
Mr Aso, a former foreign minister, pledged to a crowd of supporters in Tokyo that he would sort out Japan's economy.
"America is facing a financial crisis... we must not allow that to bring us down as well," he said.
Bad old days?
The 68-year-old veteran is promising greater public spending to try to stimulate the economy - particularly in rural areas, where the party is traditionally strong.
But one of his rivals for the leadership, Kaoru Yosano, accused him of risking Japan's long-term interests through wasteful spending.
Other colleagues fear higher spending could mark a return to the old profligate ways of the LDP, where expensive public works projects were used to try to create jobs, hollowing out the public finances.
Mr Aso, a brash straight-talker, is seen as an antidote to the reserved style of Mr Fukuda. If selected, Mr Aso would become Japan's first Catholic prime minister.
This is his fourth attempt to win the leadership of the LDP.
The other candidates include Yuriko Koike, who is seeking to be Japan's first female leader.
Former defence chief Shigeru Ishiba and young reformist Nobuteru Ishihara are also in the running.
A total of 527 LDP members can vote - 386 MPs and 141 members of regional chapters.