TOKYO (AP) -- The government's third nominee for the vacant post at the head of the Bank of Japan told lawmakers Tuesday he would preserve the bank's independence, hoping to make it past political opposition that has turned back two previous candidates.

Confirmation hearings were held in both houses of the Diet for Masaaki Shirakawa, a former Bank of Japan executive director, who was nominated Monday. The two candidates before him were rejected on grounds that they were too closely tied to the Finance Ministry.

In the House of Representatives hearing, Shirakawa said as governor he would maintain the BOJ's independence and transparency, taking into account the mid- and long-term economic outlook, which he said was steady despite harsh conditions in the United States.

"The vacancy of the governor post is clearly an abnormal situation that must be resolved urgently," Shirakawa told the Lower House hearing. "I'm determined to devote my heart and soul to fulfill the duty as governor if I can only get your approval."

The hearings appeared to move Japan closer to ending the political wrangling that has left a leadership vacuum at the top of the world's second-largest economy for nearly three weeks. Opposition leaders have indicated their support for Shirakawa, though their stance over a deputy nomination remained uncertain.

Prime Minister Yasuo Fukuda's government, which is sagging at the polls amid an embarrassing power struggle in the Diet, hopes to resolve the central bank dispute ahead of a Group of Seven financial chief's meeting later this week.

Shirakawa, recently confirmed as one of the bank's deputy governors, has been serving as the interim bank chief since Gov. Toshihiko Fukui retired on March 19. Hiroshi Watanabe, who also appeared at public hearings Tuesday as a nominee for a deputy governor post, is a former vice finance minister for international affairs.

During Tuesday's hearings, Shirakawa warned that Japan's economy likely will slow for now before resuming a mild expansion. He called the ongoing "confusion" in international financial markets "the biggest risk factor as well as the most serious (financial crisis) since the U.S. Great Depression in the 1930s."

The BOJ must remain vigilant and flexible, he said.

The central bank began its two-day policy meeting for April on Tuesday. The bank is widely expected to keep its key interest rate unchanged at 0.5 percent after its latest survey of Japanese business sentiment showed business confidence at major manufacturers is at its lowest in more than four years.

Shirakawa said Japan's financial markets have remained steady during the global credit woes, but "it's necessary to continue to pay close attention from now on, in order to keep the markets functioning."

The nomination for BOJ governor needs approval from both the houses of the Diet, with voting expected Wednesday. The opposition controls the Upper House.

The timeline is in part driven by the G-7 gathering Friday in Washington. Another failure would mean a major embarrassment for Japan amid the current global economic uncertainty.

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