japan-to-unveil-68-bn-india-investment-plan-during-modi-s-visit

The Japanese government is preparing to announce a 10 trillion yen (USD 68 billion) investment target for India during Prime Minister Narendra Modi’s visit later this month.

 

The new target, which updates a five-year 5 trillion yen investment goal unveiled in 2022, is aimed at further boosting economic engagement as the two nations deepen cooperation to promote a “free and open Indo-Pacific” amid concerns over an assertive China.

 

According to sources, the investment pledge may be included in a joint statement following summit talks between Japanese Prime Minister Shigeru Ishiba and Modi.

 

Modi is scheduled to begin his three-day visit to Japan on August 29. This will be his first trip to the country since May 2023, when he attended the Group of Seven summit in Hiroshima.

 

The previous investment target was announced during former Japanese Prime Minister Fumio Kishida’s visit to India in March 2022. That plan committed 5 trillion yen in public and private investment and financing over five years.

 

Also Read : PM Modi to launch projects in Bihar, Bengal on Aug 22

 

Both governments are also seeking to establish a new framework for cooperation in economic security, with a focus on securing stable supplies of critical goods, the sources said.

 

The framework is expected to prioritise semiconductors, essential minerals, communications, clean energy, artificial intelligence and pharmaceutical products.

 

In addition, Tokyo and New Delhi are arranging to launch what they call an AI cooperation initiative, aimed at advancing emerging technologies and fostering collaboration between startups.

 

“We hope promoting cooperation between Japanese companies (and their Indian counterparts) in fields where Indian firms have strengths would contribute to the growth of the Japanese economy,” one source was quoted as saying.

 

During his visit, Modi may also travel to Sendai, in Miyagi Prefecture in northeastern Japan, to inspect an experimental shinkansen bullet train car and visit a leading Japanese manufacturer of chip-making equipment, according to the sources.