Noda, if he actually wins on the 28th, could become a relatively effective prime minister.
Prime Minister Noda now needs to get the tax rise through the Upper House.
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In addition, Prime Minister Noda ordered two reactors in Oi, Fukui Prefecture, to be restarted.
FORBES: Fukushima Slugfest -- Japan's New Nuclear Regulation Authority
His leadership win comes as the DPJ government, led by Yoshihiko Noda, faces low poll ratings.
There are only three topics of much substance that will be discussed between Noda and Obama.
FORBES: The Noda-Obama Summit and U.S. Defense "Rebalancing" toward Asia
So now it is a horserace, by all accounts with Noda and Maehara in the lead.
It was the first visit to China since Noda was sworn in as Prime Minister.
FORBES: Japan-China Relations--PM Noda's 21 Hours in Beijing
Mr Noda will hope that voters prove as fickle as they have been in recent elections.
Here Noda was cautious, reflecting deep indecision and reluctance among all parties on this issue.
His resignation is another setback for Prime Minister Yoshihiko Noda, whose poll figures are plummeting.
Mr Noda, hit by poor poll figures, said the move would help tackle key issues.
Mr Noda, like many Japanese, worries about his country's fading relevance in world affairs.
Mr Noda, meanwhile, has also sought to move his beleaguered party firmly to the right.
ECONOMIST: An unusual militancy is creeping into mainstream politics
Prime Minister Yoshihiko Noda, at the ceremony, said the lessons of Hiroshima must not be forgotten.
Japanese Prime Minister Yoshihiko Noda also raised security concerns in a meeting with Mr Obama.
The main opposition party is demanding Mr. Noda first dissolve parliament for a snap election.
Yet using skills honed at Funabashi station, Mr Noda pulled off what supporters call a miracle.
It is a great tribute to the Japanese people and to leaders like Prime Minister Noda.
He was briefly prime minister in 2006-07 and may well defeat Mr Noda in the next election.
Yoshihiko Noda, the Prime Minister of Japan, reportedly cancelled an important speech and rushed back to his office.
Noda graduated from Waseda University, which tends to produce business leaders, not Tokyo University which specializes in bureaucrats.
Did the issue of timing of the TPP negotiations come up in the bilateral Prime Minister Noda today?
Japanese PM Yoshihiko Noda has named a new finance minister, in a reshuffle aimed at revitalising his cabinet.
It has also seen multiple leadership changes - Mr Noda is the third DPJ prime minister since 2009.
Mr Noda may prefer to see his twin aims passed into law and then call a snap election.
However true, his criticism has become monotonous, and some voters at least credit Mr Noda for fiscal responsibility.
Soon after Mr Noda was named prime minister, he persuaded Mr Koshiishi to become secretary-general of the party.
After only some 14 months in office, Kan handed the baton to Noda.
FORBES: Does Japan's LDP Have a Winner in Former PM Abe? I am Betting on Noda.
Maehara is believed to have entered the race because Noda had failed to garner enough support to ensure election.
Other possible successors include Finance Minister Yoshihiko Noda and Trade Minister Banri Kaieda.
BBC: Japan PM Naoto Kan announces resignation amid criticism
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