TOKYO — Japan's incoming prime minister Shigeru Ishiba will likely appoint former defense minister Takeshi Iwaya as foreign minister when he forms his government this week, two people with knowledge of the matter told Reuters on Sunday.

Iwaya, defense chief from 2018 to 2019, helped Ishiba on strategy in his winning run to lead the ruling Liberal Democratic Party.

Ishiba, 67, is considering former Prime Minister Yoshihide Suga for vice president of the LDP, according to two sources, including one who confirmed Iwaya's selection.

After winning the LDP race on Friday, Ishiba said he planned to form his government on Tuesday after the lower house of parliament, which the LDP controls, votes on a prime minister.

He will name former Chief Cabinet Secretary Katsunobu Kato as finance minister, Japanese media reported on Saturday, while two people with direct knowledge of the matter told Reuters he would retain Yoshimasa Hayashi as chief cabinet secretary, a pivotal post that includes the role of top government spokesman.

Ishiba declined to detail his cabinet plans in a televised interview on Sunday but suggested he was willing to consider a snap election in the near future.

He said Japan's monetary policy must remain accommodative as a trend, signaling the need to keep borrowing costs low to underpin a fragile economic recovery.

It was not immediately clear whether Ishiba, who had been a vocal critic of the Bank of Japan's past aggressive monetary easing, was taking a more dovish line with his remarks.