Japan's new Prime Minister, Fumio Kishida, said on Sunday he won't seek to change the country's taxes on capital gains and dividends for now as he intends to pursue other steps for better wealth distribution, such as raising wages of medical workers.

Kishida, who has vowed to rectify wealth disparities, had previously said reviewing those taxes would be an option in addressing income gaps.

The premier's new stance indicates his concern about jitters in the stock market caused by the prospects of higher tax levies.

Kishida took the top job in the world's third-largest economy on Monday, replacing Yoshihide Suga, who had seen his support undermined by surging Covid-19 infections.

"I have no plan to touch the financial income tax for the time being ... There are many other things to tackle first," Kishida told a news programme on commercial broadcaster Fuji Television Network. "Misunderstanding is spreading that I may do it soon. That will give unnecessary worry to people concerned, if not dispelled firmly."