Its attractiveness comes in the form of being one of the largest and most dynamic economies. Investors can benefit from a highly skilled workforce, advanced technology, high infrastructure and overall cost-effectiveness.
While Japan has been regarded as a market with many barriers to entry, the government under the leadership of Prime Minister Abe, has created new initiatives to streamline and make it easier for foreign capital to enter the market. Under new government policies, Japan’s net inward investment has climbed from 17.8 trillion yen in 2012 to 24.4 trillion yen in 2015. An almost four time growth from its amount in 2001. With increased FDI, the government targets 35 trillion yen for 2020. To encourage this, regulatory reforms across various industries are taking place. Further lowering of the corporate tax rate and subsidies are given to encourage regional investment.