The new Prime Minister of Japan, Mr Keizo Obuchi, took office yesterday after his ruling party quashed a rebellion by the opposition-dominated upper house.
The lower house of the Diet, which is controlled by the Liberal Democratic Party, imposed its constitutional superiority to name Mr Obuchi Prime Minister after the upper house chose the opposition leader, Mr Naoto Kan.
The upper chamber cannot block decisions or legislation passed by the lower house, but its protest vote was symbolic of the troubles facing Mr Obuchi (61) as he battles to lift the economy out of recession.
Mr Obuchi named a cabinet that included a former prime minister, Mr Kiichi Miyazawa (78), as Finance Minister. Mr Obuchi had to persuade Mr Miyazawa to take the job but he was still said not to be fully happy with the line-up.
The upper house vote in favour of Mr Kan, leader of the main opposition Democratic Party of Japan, was the first such upper house protest in nine years. It never stood a chance, but with the opposition uniting against them, Mr Obuchi and Mr Miyazawa will struggle to make deals to pass key legislation through the upper house which is badly needed to salvage the economy and finance sector.
One of the main bills to be pushed through a special 70-day Diet session, which started yesterday, creates a bridge bank to take over failed institutions in the debtstruck finance sector.
Mr Obuchi, the foreign minister in the previous government, appointed a former vice-foreign minister, Mr Masahiko Komura (56), as Foreign Minister.
The international spotlight is now on the new government's attempts to resuscitate the world's second-biggest economy. Mr Miyazawa is the most important member of the cabinet, which Mr Obuchi said was less than perfect.
Mr Kan called for snap elections.
Markets wavered in reaction to Mr Obuchi's victory. The key Nikkei index on the Tokyo Stock Exchange gained 43.51 points to end at 16,201.60, while the yen was steady at 142.29-32 yen.