Taro Aso does not look like the beleaguered captain of a sinking ship as he strides into an elegant meeting room sporting his trademark lopsided grin.

Gloom has enfolded the Japanese economy in recent months and the prime minister's chances of political survival are widely doubted. However, he is unruffled as he lays out his plans to stimulate the world's second largest economy and insists he is ready to play a prominent role at tomorrow's G20 summit of leading and emerging nations.

In spite of domestic economic problems – exports fell by almost half in February, industrial output was down 9.4 per cent month-on-month and data yesterday showed the most rapid worsening of job availability since 1974 – Mr Aso's message is clear: Japan remains a force in the world.