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Japanese Prime Minister Fumio Kishida, who is also the president of the Liberal Democratic Party, informed party executives on Wednesday that he does not intend to run in the party's leadership election scheduled for late September. Having plans to step down in line with the end of his three-year term as party president.

As public distrust in the Liberal Democratic Party, or LDP, is rising due to a political funding scandal involving the party's factions, 67-year-old Kishida decided that he could no longer ignore the growing calls within the party for a change in leadership.

Kishida's term as LDP president lasts until Sept 30, and the party's rules stipulate that the leadership election to choose his successor will take place between Sept 20 and 29. With the House of Representatives term set to expire by Oct 30 next year, the election will also serve as a way to select the "face of the party" for the upcoming general election, according to The Yomiuri Shimbun, Japan's largest national newspaper.

As of now, no candidate has officially announced their candidacy for the leadership election, but Kishida's announcement not to run is likely to accelerate the race. Among the current party executives and cabinet ministers who support Kishida, LDP Secretary-General Toshimitsu Motegi, Minister for Digital Transformation Taro Kono, and Minister in charge of Economic Security Sanae Takaichi have expressed interest in running.

The mid-career and younger members of the LDP have been increasingly vocal about the need for generational change and party reform ahead of the leadership election. The emphasis on reform is largely driven by the strong headwinds caused by the political funding scandal involving party factions. Disciplining the involved members and amending the Political Funds Control Act have not been sufficient to restore public trust.

The mid-career and younger members of the LDP believe that without demonstrating a commitment to change, the party is likely to struggle in the next House of Representatives election. Some candidates eyeing the "post-Kishida" era are responding to these calls, making party renewal one of the key issues in the upcoming leadership race, The Yomiuri Shimbun reported.