CCTV correspondent Terrence Terashima now joins us from Tokyo with more. Hi Terry.
 
Q1. Can you walk us through the details of the reshuffle? What do we know about the newly appointed ministers?

Q2. What does the new lineup tell us about Prime Minister Abe's priorities?

Abe's new cabinet was announced at a critical point in Prime Minister Shinzo Abe's political career.

Abe's economic revitalization policy, also known as Abenomics -- has done little to improve Japan's economy. Many Japanese say they are still waiting for their living standards to rise. Japan's economy suffers from weak consumer spending, and low corporate confidence.

The fact that Abe kept most of his senior cabinet members reflects his government's desire to continue pursuing Abe's economic and political policies.
 
Abe's prior cabinet approved an economic stimulus package worth 274 billion US dollars. Japan's Finance Minister Taro Aso said the government will coordinate with Japan's central Bank to jumpstart economic growth.

"I want Mr. Abe to focus on improving the economy. I hear that the government will work together with Mr. Kuroda, but I would also want to see structural reforms as soon as possible," said a Japanese resident.

"I don't think the economy is doing well. And I do not have any hopes things will improve anytime soon."

Shinzo Abe has been faced with number of diplomatic challenges, as Japan eyes improving diplomatic ties with its neighbours while trying to re-affirm US Japan cooperation.

Some Japanese are concerned over Abe's decision to appoint Tomomi Inada as the new Defense Minister. Inada supports constitution revision and have number of times visited the controversial Yasukuni Shrine.

Majority of the people I spoke on the street say, they are not expecting that much change from the new cabinet, but the majority said they want Prime Minister Shinzo Abe to accelerate the economic recovery enough momentum to boost consumer and corporate confidence.

Abe announced 10 new ministers to evenly satisfy interests within the ruling parties. To maintain party stability.

"It may seem new, but its the same old thing"

The ruling LDP also announced its new senior Party posts, which was watched closely by the Japanese media. Some speculated possibilities for Shinzo Abe to run for another term after his term ends in September 2018.