Shinzo Abe, the new Japanese prime minister, has reversed the slogan of his predecessor, Junichiro Koizumi. “No growth without reform” has morphed into “no reform without growth”. Fearing that this could mean “lacklustre growth, without reform”, many previously enthusiastic foreign investors are holding back for now.

Mr Abe will not reverse the reforms but the momentum gathered recently could be lost. His passions are foreign policy and making the education curriculum more “patriotic”. Some of his appointees, such as Yasuhisa Shiozaki, chief cabinet secretary, have great economic expertise. But if Mr Abe is not personally engaged they will lack sufficient clout. Many of Mr Abe’s aides have reduced reform to the sole issue of cutting the budget deficit and then excessively relying on inflation to meet their targets. Too many government and business leaders believe they have already pushed through enough change and are content to let past reforms take their course.