Japanese opposition leader Ichiro Ozawa resigned on Monday following a fundraising scandal, which had dampened his party's hopes for victory in the upcoming election. Despite the political stalemate and voter frustrations with Prime Minister Taro Aso, Ozawa's Democratic Party had been leading in polls until the scandal. Ozawa stated that he decided to resign in order to strengthen party unity and achieve a change in government. The Democratic Party aims to reduce bureaucrats' influence in policy-making, prioritize the rights of consumers and workers over corporate interests, and adopt a more independent diplomatic policy. Ozawa's departure is not expected to change the current political positions, but it may push the LDP to propose additional stimulus plans to attract voters. A 15 trillion yen spending package is already in the process of being approved by parliament. Financial markets were not significantly affected by Ozawa's resignation, with the yen trading slightly lower initially but remaining largely unchanged for the day. Aso, who has threatened to hold an early election if the Democrats obstruct debate on the budget, stated that Ozawa's resignation will not directly impact election timing. There has been speculation about a possible August election. Hidenori Suezawa, chief strategist at Daiwa Securities SMBC, mentioned that with Ozawa gone, Prime Minister Aso may increase economic stimulus efforts to attract voters instead of dissolving parliament. Analysts believe that while replacing Ozawa may boost the Democrats' electoral prospects, not all the negative impact will be quickly resolved. Independent political commentator Minoru Morita noted that people had been unhappy with Ozawa, and this change bodes well for the Democrats. Ozawa's departure may pave the way for a younger leader to take over, with potential candidates being former party leaders Katsuya Okada, known for advocating for stricter climate policies and seen as a top contender, and Seiji Maehara, an expert in conservative security policies. Other possible successors include Yukio Hatoyama and Naoto Kan, who are former leaders and deputies of Ozawa. Ozawa, a skilled campaign strategist, has been a major player in Japanese politics for nearly twenty years after leaving the LDP and helping to temporarily replace it with a pro-reform coalition. The impact of his resignation on the Democrats' chances depends, in part, on who replaces him and how smoothly the transition occurs. "It is a necessary step in addressing the party's image problem." Gerry Curtis, a Columbia University professor and expert in Japanese politics, raised the question of who the Democratic Party will choose as their next leader and how they will choose him, as well as how he will perform. A Democratic Party source indicated that the next leader is likely to be chosen through a vote among party lawmakers, possibly within a week or 10 days. A survey conducted by the Yomiuri newspaper before Ozawa's announcement, and published on Monday, revealed that the Democrats still held a slight lead over the LDP, but more than two-thirds of respondents questioned Ozawa's decision to stay on. Yukihiro Nakagawa, an executive at a precision machinery company, commented that he had planned to submit a blank paper when casting his vote if Ozawa had stayed, but now he is leaning towards voting for the Democrats after seeing what kind of policies they will promise. A survey conducted by the Yomiuri newspaper before Ozawa's announcement revealed that 30 percent of respondents would support the Democrats in the upcoming election, compared to 27 percent for the LDP. Some analysts believe that Ozawa's resignation could prompt discussions within the LDP about replacing the unpopular Aso, while others argue that finding a suitable successor may be difficult and Aso may try to retain his position.