The Japanese government plans to invest 10 trillion yen (about $68 billion) in India over the next decade, according to a media report from Tokyo. According to the prestigious ‘The Asahi Shimbun’ newspaper, Prime Minister Shigeru Ishiba and Indian Prime Minister Narendra Modi are expected to officially confirm this important goal at their meeting in Tokyo on August 29.
This initiative is an expansion of Japan’s current investment target of 5 trillion yen over five years announced by former Prime Minister Fumio Kishida in March 2022. This increased investment target is expected to be mentioned in the joint statement issued after the bilateral summit. Prime Minister Modi’s three-day visit to Japan starting August 29 will be his first visit to Japan after the G7 summit held in Hiroshima.
According to analyses, Japanese businessmen have invested an average of 1 trillion yen in India every year. In addition, the two countries are considering launching an economic security initiative, which will offer a new bilateral cooperation framework to ensure the uninterrupted supply of critical materials and protection of vital infrastructure.
This strategic partnership will prioritise key sectors such as semiconductors, essential minerals, telecommunications, clean energy, pharmaceuticals and artificial intelligence. A dedicated AI collaboration initiative is also proposed to promote cooperation, especially in the area of AI technology and startups. Also, economic cooperation will be expanded beyond traditional manufacturing through Digital Partnership 2.0, with a special focus on emerging technology areas.
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