1

Invest in Japan

29 September, 200529 September, 2005

Hiroshi YoshikawaHiroshi Yoshikawa (University of Tokyo)(University of Tokyo)

29 September, 200529 September, 2005

Hiroshi YoshikawaHiroshi Yoshikawa (University of Tokyo)(University of Tokyo)

2

INDEX

Current FDI into Japan

Goal of “Doubling the Stock of Inward FDI”

Japan Investment Council (JIC)

The Program for the Promotion of FDI into Japan

Why Japan?

Examples of Active Companies in Japan

Local government’s Efforts

3

Current FDI into Japan

• Stock of FDI into Japan: 9.6 trillion yen (2003)

• Ratio of FDI stock to nominal GDP: 2.0% (2002)

– Japan’s ratio of inward Foreign Direct Investment (FDI) stock to nominal GDP is by far at a lower level than those of US and European countries.

– According to IMF statistics, the ratio in 2002 was only 2.0% in Japan, while it was 19.2% in the US, 40.9% in the UK, and 25.7% in Germany.

• Stock of FDI into Japan: 9.6 trillion yen (2003)

• Ratio of FDI stock to nominal GDP: 2.0% (2002)

– Japan’s ratio of inward Foreign Direct Investment (FDI) stock to nominal GDP is by far at a lower level than those of US and European countries.

– According to IMF statistics, the ratio in 2002 was only 2.0% in Japan, while it was 19.2% in the US, 40.9% in the UK, and 25.7% in Germany.

4

(1) Stock of FDI into Japan(by regions, trillion yen)

0

2

4

6

8

10

12

14

1998 1999 2000 2001 2002 2003 2004 2005 2006

Asia

United States

Canada

Cayman Island (2001-)

Other Latin America

Netherlands

France

Germany

Other Western Europe

Others

Target

(Unit: tri l l ion yen)

Regional Direct Investment Position and Regional Portfolio Investment Position (Disseminated by M inistry of Finance)

3.0

4.75.8

6.6

9.4 9.6

13.2

5by far the lowest level among industrialized countries.

(2) Inward FDI in Major Countries(stock / nominal GDP)

1.0% 1.1% 1.2%

J apan2.0%0.7%

19.2%

U.S.

40.9%

U.K.

25.7%

Germany

France

38.3%

33.0%Australia

0%

10%

20%

30%

40%

50%

1998 1999 2000 2001 2002

2.0%

19.2%

40.9%

25.7%

38.3%

33.0%

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

J apan U.S. U.K . Germany France Australia

Source: IMF "International Financial Statistics" (2003)

Note: U.S., France and Australia: Current Price

Source: IMF "International Financial Statistics" (2003)

Note: U.S., France and Australia: Current Price

6

(3) The number of Foreign-capital companies in Japan, sales, profit and employees (2001)

CompaniesCompanies 1.94%1.94% 1.97%1.97%546546 261261

Foreign-capital companiesForeign-capital companies

ShareShare

ManufacturingManufacturing

ShareShare

EmployeesEmployees 4.71%4.71% 5.78%5.78%514,124514,124 291,268291,268

Sales(billion yen)

Sales(billion yen) 5.95%5.95% 10.28%10.28%35,07935,079 25,24025,240

profit(billion yen)profit

(billion yen) 11.92%11.92% 18,59%18,59%1,8861,886 1,4261,426Source: Trial calculation of the Cabinet Office based on a report “Results of the basic survey of

business structure and activity”Note; An object is companies, which are 50 or more employees and capital of 30 million yen or more, with

business establishment of Manufacturing, Mining and Commerce.

7

(4) Increasing Foreign Shareholders

• Foreign Shareholdership is rapidly getting to a higher level, where Japanese business corporations reduce their shares.

• Foreign Shareholdership is rapidly getting to a higher level, where Japanese business corporations reduce their shares.

4.24.76.06.37.78.110.511.913.414.118.618.818.317.721.8

0

20

40

60

80

100

1989 1991 1993 1995 1997 1999 2001 2003

Govt. & Local Govt.

LTCB, City & Regional Banks

Trust Banks

Other Fin. Institutions

Business Corps.

Securities Companies, Individuals

Foreigners (Cos. + Indiv.)

4.24.76.06.37.78.110.511.913.414.118.618.818.317.721.8

0

20

40

60

80

100

1989 1991 1993 1995 1997 1999 2001 2003

Govt. & Local Govt.

LTCB, City & Regional Banks

Trust Banks

Other Fin. Institutions

Business Corps.

Securities Companies, Individuals

Foreigners (Cos. + Indiv.)

Distribution of Shareholders (Market Value)

Distribution of Shareholders (Market Value)

Source: 2003 Shareownership Survey (All domestic stock exchanges （ Tokyo, Osaka, Nagoya, Fukuoka and 　 Sapporo ） in Japan)

Notes: 1. Survey has been conducted on a "Unit-of-Share" basis since 1985 Survey. 2. The market value of Financial Institutions excludes that of Investment Trusts and

Annuity Trusts.

Source: 2003 Shareownership Survey (All domestic stock exchanges （ Tokyo, Osaka, Nagoya, Fukuoka and 　 Sapporo ） in Japan)

Notes: 1. Survey has been conducted on a "Unit-of-Share" basis since 1985 Survey. 2. The market value of Financial Institutions excludes that of Investment Trusts and

Annuity Trusts.

TOYOTATOYOTA

HONDAHONDANISSANRenault S.A.NISSANRenault S.A.

MITSUBISHIDaimlerChrysler AGMITSUBISHIDaimlerChrysler AG

MAZDAFord Motor Co.MAZDA

Ford Motor Co.

SUZUKIGeneral Motors Corp.

SUZUKIGeneral Motors Corp.

Fuji (SUBARU)General Motors Corp.Fuji (SUBARU)General Motors Corp.

ISUZUGeneral Motors Corp.

ISUZUGeneral Motors Corp.

18.2%18.2%

32.2%32.2%

63.9%63.9%

42.3%42.3%

39.5%39.5%

43.7%43.7%

37.6%37.6%

17.6%17.6%

Foreign – owned share’s ratio

(Market Value; Sep. 2003)

Foreign – owned share’s ratio

(Market Value; Sep. 2003)

8

Goal of “Doubling the Stock of Inward FDI”

(Prime Minister’s initiative)

• General Policy Speech by Prime Minister Junichiro Koizumi to the 156th Session of the Diet (January 31, 2003)

– Foreign direct investment in Japan will bring new technology and renovative management methods, and will also lead to greater employment opportunities. Rather than seeing foreign investment as a threat, we will take measures to present Japan as an attractive destination for foreign firms in the aim of doubling the cumulative amount of investment in five years.

6.6 trillion yen 13.2 trillion yen (by the end of 2006)

• General Policy Speech by Prime Minister Junichiro Koizumi to the 156th Session of the Diet (January 31, 2003)

– Foreign direct investment in Japan will bring new technology and renovative management methods, and will also lead to greater employment opportunities. Rather than seeing foreign investment as a threat, we will take measures to present Japan as an attractive destination for foreign firms in the aim of doubling the cumulative amount of investment in five years.

6.6 trillion yen 13.2 trillion yen (by the end of 2006)

9

Japan Investment Council (JIC)

• On July 1994, the JIC was established as a ministerial-level council, chaired by Prime Minister.

– View-point of promoting foreign direct investment into Japan.

– The Expert Committee operates under the JIC.

• On March 27, 2003, the JIC decided “The Program for the Promotion of Foreign Direct Investment into Japan”.

– The Program asks for the implementation of 74 measures under the five categories.

• On July 1994, the JIC was established as a ministerial-level council, chaired by Prime Minister.

– View-point of promoting foreign direct investment into Japan.

– The Expert Committee operates under the JIC.

• On March 27, 2003, the JIC decided “The Program for the Promotion of Foreign Direct Investment into Japan”.

– The Program asks for the implementation of 74 measures under the five categories.

10

The Program for the Promotion of FDI into Japan

(1) Provide Information in Japan and AbroadCommunicating Japan's Appeal and Welcoming Stance to abroadEnhancing recognition of FDI’s importance inside of Japan

(2) Improve Corporate Business EnvironmentEnvironment to Facilitate Participation and Business Activity

(3) Review Administrative ProceduresMake Them Clearer, Simpler, Faster

(4) Create Favorable Employment and Living EnvironmentEase Entry of Personnel and Provide More Comfortable Living Conditions for Foreigners

(5) Improve Local and National Structures and SystemsFacilitate Ingenious Approaches at Regional Levels

(1) Provide Information in Japan and AbroadCommunicating Japan's Appeal and Welcoming Stance to abroadEnhancing recognition of FDI’s importance inside of Japan

(2) Improve Corporate Business EnvironmentEnvironment to Facilitate Participation and Business Activity

(3) Review Administrative ProceduresMake Them Clearer, Simpler, Faster

(4) Create Favorable Employment and Living EnvironmentEase Entry of Personnel and Provide More Comfortable Living Conditions for Foreigners

(5) Improve Local and National Structures and SystemsFacilitate Ingenious Approaches at Regional Levels

11

(1) Provide Information in Japan and Abroad

• Overseas symposia and seminars are showing Japan's market environment, success cases, etc.

• Through Domestic seminars, regional people come to understand that FDI is beneficial for both Japan and investing countries.

• Overseas symposia and seminars are showing Japan's market environment, success cases, etc.

• Through Domestic seminars, regional people come to understand that FDI is beneficial for both Japan and investing countries.

• The Prime Minister welcomed inward FDI in a television spot commercial, broadcasted throughout America and Europe. DVD version in five languages produced and distributed.

• The Prime Minister welcomed inward FDI in a television spot commercial, broadcasted throughout America and Europe. DVD version in five languages produced and distributed.

12

(2) Improve in the Corporate Business Environment

• Conclusion of the Japan-US Tax Treaty reduces tax burdens on Japanese and US companies.

• Improve transparency through corporate information disclosure, and promote internationalization of accounting standards.

• Expand opportunities for private-sector participation in public services and other such sectors by measures including amendment of the Local Autonomy Law (September 2003).

• Conclusion of the Japan-US Tax Treaty reduces tax burdens on Japanese and US companies.

• Improve transparency through corporate information disclosure, and promote internationalization of accounting standards.

• Expand opportunities for private-sector participation in public services and other such sectors by measures including amendment of the Local Autonomy Law (September 2003).

13

(3) Review Administrative Procedures

– Service became significantly faster, and most investment-related inquiries are responded within three days.

– More than 1,000 potential investor companies were uncovered in FY2003, largely by JETRO, and approximately 100 of them made a decision to invest (twice of the previous fiscal year).

– Service became significantly faster, and most investment-related inquiries are responded within three days.

– More than 1,000 potential investor companies were uncovered in FY2003, largely by JETRO, and approximately 100 of them made a decision to invest (twice of the previous fiscal year).

• “Invest Japan” established as unified contact point to provide foreign investors with comprehensive information and consultation on direct investment in Japan.

• “Invest Japan” established as unified contact point to provide foreign investors with comprehensive information and consultation on direct investment in Japan.

14

(4) Create Favorable Employment and Living Environment• Extend the upper limit on period of stay from three

to five years for qualified foreign researchers and other personnel by utilizing special zones for structural reform.

• Japanese universities accept international school graduates under certain conditions.

• Foreign students are allowed to extend their stay for a maximum 180 days following graduation in order to seek employment in Japan.

• The Japan-US and Japan-Korean agreements on social security were signed. They will resolve the double payment of pension contributions.

• Extend the upper limit on period of stay from three to five years for qualified foreign researchers and other personnel by utilizing special zones for structural reform.

• Japanese universities accept international school graduates under certain conditions.

• Foreign students are allowed to extend their stay for a maximum 180 days following graduation in order to seek employment in Japan.

• The Japan-US and Japan-Korean agreements on social security were signed. They will resolve the double payment of pension contributions.

15

(5) Improve Local and National Structures and Systems

• National government supports actively providing support to leading regions that enthusiastically promote inward FDI.

• Investment environment is improved by using special zones for structural reform.

– As on June 2004, 386 projects were authorized.

– Study on nation-wide application of special deregulative measures in the zones.

• National government supports actively providing support to leading regions that enthusiastically promote inward FDI.

• Investment environment is improved by using special zones for structural reform.

– As on June 2004, 386 projects were authorized.

– Study on nation-wide application of special deregulative measures in the zones.

16

Why Japan?

1. The world's second-largest market

2. Key market to succeed in Asia

3. Abundant highly skilled human resources

4. Innovative technologies

5. Efficient infrastructure

6. Reformed legal framework for investment

7. High performance of Foreign Companies in Japan

8. Lowered business costs

9. Abundant market opportunities

10.Living environment

1. The world's second-largest market

2. Key market to succeed in Asia

3. Abundant highly skilled human resources

4. Innovative technologies

5. Efficient infrastructure

6. Reformed legal framework for investment

7. High performance of Foreign Companies in Japan

8. Lowered business costs

9. Abundant market opportunities

10.Living environment

17

(1) The world's second-largest market

• Japanese GDP (value base) accounts for about one eighth (1/8) of the World GDP, and Japan positioned as the 2nd biggest GDP country after the United States.

• Japanese GDP (value base) accounts for about one eighth (1/8) of the World GDP, and Japan positioned as the 2nd biggest GDP country after the United States.

France

Germany

Canada

United Kingdom

Italy

Japan12.5%

United States32.6%

Asia

North AmericaCentral SouthAmerica

Others

Europe

Nominal GDP Ratio (%) by regions (2002)

Nominal GDP Ratio (%) by regions (2002)

Source: Cabinet OfficeSource: Cabinet Office

Nominal GDP (million

$)

Nominal GDP (million

$)CountryCountry Per Capital

($)Per Capital

($)

United StatesUnited States 10,383.110,383.1 36,12136,121

JapanJapan 3,983.53,983.5 31,27731,277

GermanyGermany 1,986.11,986.1 24,07924,079

United KingdomUnited

Kingdom 1,563.11,563.1 26,40126,401

FranceFrance 1,431.21,431.2 23,37423,374

ChinaChina 1,236.71,236.7 955955

1,186.11,186.1 20,44120,441ItalyItaly

18

-The adjoining major economic regions

• Almost all the million cities are located within one-hour train ride (300km) from their neighboring major city.

– It is almost the same as the distance from New York and Boston.

– It is only 1 hour and a half by the superexpress “Shinkansen”.

• Almost all the million cities are located within one-hour train ride (300km) from their neighboring major city.

– It is almost the same as the distance from New York and Boston.

– It is only 1 hour and a half by the superexpress “Shinkansen”.

Comparison of GDPs of major regions in Japan with those of selected Asian nations (2001)

<Source>Japanese figures; Prefectural Citizens' Economic Accounts, 2001 (Cabinet Office)Asian nations figures; Foreign Economic Data (Cabinet Office)

Comparison of GDPs of major regions in Japan with those of selected Asian nations (2001)

<Source>Japanese figures; Prefectural Citizens' Economic Accounts, 2001 (Cabinet Office)Asian nations figures; Foreign Economic Data (Cabinet Office)

Sapporo(Hokkaido)Sapporo(Hokkaido)

Sendai(Miyagi Pref.)Sendai(Miyagi Pref.)

Tokyo, Saitama, Kawasaki, Yokohama

(Metropolis; Tokyo, Saitama Pref., Chiba Pref. and Kanagawa Pref.)

Tokyo, Saitama, Kawasaki, Yokohama

(Metropolis; Tokyo, Saitama Pref., Chiba Pref. and Kanagawa Pref.)

Nagoya(Nagoya region;

Aichi Pref. and Shizuoka Pref.)

Nagoya(Nagoya region;

Aichi Pref. and Shizuoka Pref.)

Osaka, Kyoto, Kobe (Kansai region; Osaka Pref.,

Kyoto Pref. and Hyogo Pref.)

Osaka, Kyoto, Kobe (Kansai region; Osaka Pref.,

Kyoto Pref. and Hyogo Pref.)

Hiroshima(Hiroshima Pref.)Hiroshima(Hiroshima Pref.)

Fukuoka, Kitakyusyu (Fukuoka Pref. and Ya

maguchi Pref)

Fukuoka, Kitakyusyu (Fukuoka Pref. and Ya

maguchi Pref)

China1,191billion

Metropolis1,271billion

Rep. of Korea

427billion

Kansai553

billion

Nagoya404

billion

600km

600km

300km

300km

900km

900km

600km

600km

900km

900km

19

(2) Key market to succeed in Asia

• Japan’s economic power makes itself a hub for Asia, a center of trade, transport and markets. It is an ideal site for investment oriented to the entire Asian market.

• Japan’s economic power makes itself a hub for Asia, a center of trade, transport and markets. It is an ideal site for investment oriented to the entire Asian market.

Number of direct flights between Narita and major cities in Asia

roundtrips per week, as of March 2003, shortest required flight time in hours denoted by “h”Source: Prepared from information on airport and airline websites.

Number of direct flights between Narita and major cities in Asia

roundtrips per week, as of March 2003, shortest required flight time in hours denoted by “h”Source: Prepared from information on airport and airline websites.

20

(3) Abundant highly skilled human resources

• Japan’s competitive advantages are supported by its highly-skilled workforce. Even among developed nations, Japan has the highest rate of advancement to higher education.

• Japan’s competitive advantages are supported by its highly-skilled workforce. Even among developed nations, Japan has the highest rate of advancement to higher education.

49.8%

1.2%

23.1%

47.7%

12.7%

41.0%33.2%

0%

20%

40%

60%

80%

J apan(2003)

United States(2000)

France(1999)

Germany(2000)

Specialized traning College

Part-time

Full-time

Advancement rate to institutions of higher education

Source; “International Comparison of Educational Indicators” (2004 edition), Ministry of Education, Culture, Sports, Science and Technology

Notes; “Part-time” in Japan is the University of the Air and others.The rates of France is an estimation value.

Advancement rate to institutions of higher education

Source; “International Comparison of Educational Indicators” (2004 edition), Ministry of Education, Culture, Sports, Science and Technology

Notes; “Part-time” in Japan is the University of the Air and others.The rates of France is an estimation value.

21

-Changing “Lifetime Employment”

• Foreign companies have chances to hire competent Japanese business people. More and more Japanese are changing their job. So-called ”Lifetime Employment” does not prevail any longer.

• Foreign companies have chances to hire competent Japanese business people. More and more Japanese are changing their job. So-called ”Lifetime Employment” does not prevail any longer.

0

1

2

3

4

(milion)

1986 1991 1996 2001

voluntarynon-voluntaryunemployment (after graduation)Otherunknown

Number of job-searchersSource; Ministry ob Public Management, Home Affairs, Posts and Telec

omunications

Number of job-searchersSource; Ministry ob Public Management, Home Affairs, Posts and Telec

omunications

22

(4) Innovative technologies

• Japan is the second largest patent registration country in the world. Currently the legal framework protecting intellectual property rights is being further strengthened.

• Japan is the second largest patent registration country in the world. Currently the legal framework protecting intellectual property rights is being further strengthened.

0

50

100

150

200

250

FromJ apan

FromU.S.

FromEPO

FromRep. ofKorea

FromChina

FromOthers

To J apan

To U.S.

To EPO

To Rep. of Korea

To China

To Oters

The Number of Patent Registrations According to Nationality (2000)

Source; WIPO Statistics

The Number of Patent Registrations According to Nationality (2000)

Source; WIPO Statistics

(thousands)(thousands)

23

(5) Efficient infrastructure

• Japan’s high-speed telecommunications network reaches 10 million households, and offers a superb platform for cutting-edge information-based businesses and distribution systems.

• Japan’s high-speed telecommunications network reaches 10 million households, and offers a superb platform for cutting-edge information-based businesses and distribution systems.

J apan

Canada

Germany

Taiwan

U.S.

Rep. of K orea

U.K .

Netherlands

Hong K ong

BelgiumSweden

Iceland

0%

5%

10%

15%

20%

25%

0 5 10 15 20 25

0.09 0.25

2.21

3.073.53

4.42

0.0

1.0

2.0

3.0

4.0

5.0

J apan Rep. ofKorea

Singapore China U.S. Germany

International Comparison of Broadband Fees per 100 kbit/s (July 2003)

International Comparison of Broadband Fees per 100 kbit/s (July 2003)

Source: ITU Internet Reports 2003 “Birth of Broadband”Source: ITU Internet Reports 2003 “Birth of Broadband”

International Comparison of Total Broadband Subscribers and Subscribers per 100

Inhabitants (2002)

International Comparison of Total Broadband Subscribers and Subscribers per 100

Inhabitants (2002)

Total Broadband Subscribers (million subscribers)Total Broadband Subscribers (million subscribers)

Bro

ad

ban

d su

bscribers p

er 1

00

in

hab

itan

tsB

road

ban

d su

bscribers p

er 1

00

in

hab

itan

ts

24

(6) Reformed legal framework for investment

• Japan has been reforming domestic regulations and legal framework in various sectors, including telecommunications, to attract foreign business and FDI.

• Japan has been reforming domestic regulations and legal framework in various sectors, including telecommunications, to attract foreign business and FDI.

37

24

18

10

4

0

0 10 20 30 40

2000.11

2000.03

1999.09

1999.03

1998.09

1998.01

February 1998• Abolition of foreign-capital p

rohibition.• Primary international commu

nication license to foreign carriers, such as Worldcom and BT.

November 1998• Abolition of communications

fees permission system.

Number of primary international communications licenses foreign companies.

Number of primary international communications licenses foreign companies.

25

• Farming by Business companies– Business companies are allowed to farm land by

renting the land.

• Management of Special Nurcing Home for the Aged by Corporation

• Farming by Business companies– Business companies are allowed to farm land by

renting the land.

• Management of Special Nurcing Home for the Aged by Corporation

-Special Zones for Structural Reform

• Schools by Public companies

– Special zones allow public companies to open colleges and professional graduate schools.

• Schools by Public companies

– Special zones allow public companies to open colleges and professional graduate schools.

26

(7) High performance of Foreign Companies in Japan

• Foreign Companies in Japan enjoy much higher profits than Japanese companies.

• Low profits in Japanese companies are not applicable to Foreign companies in Japan.

• Foreign Companies in Japan enjoy much higher profits than Japanese companies.

• Low profits in Japanese companies are not applicable to Foreign companies in Japan.

Japan (2001)

Japan (F

oreign-capital

compan

ies, 2001)

Germ

any (1998)

United S

tates (2000)

0%

3%

6%

9%

J a p a n ( 2 0 0 1 ) J a p a n ( F o r e i g n - c a p i t a l c o m p a n i e s , 2 0 0 1 ) G e r m a n y ( 1 9 9 8 ) U n i t e d S t a t e s ( 2 0 0 0 )Profits / Sales (Part for Manufacturing)

Source; Cabinet Office

Profits / Sales (Part for Manufacturing)

Source; Cabinet Office

27

(8) Lowered business costs

• The costs of doing business in Japan—land prices, office rents, and labor costs, among others—have dramatically decreased.

• The costs of doing business in Japan—land prices, office rents, and labor costs, among others—have dramatically decreased. 48.2

23.4

40.5

43.0

0

20

40

60

80

100

120

1992 1994 1996 1998 2000 2002 2004

ResidentialCommercialIndustrialAverage for all Purposes

Published Land Prices (Sept. 1992 =100)

the Metropolitan Areas Shown in Published Land Prices in 2002

Published Land Prices (Sept. 1992 =100)

the Metropolitan Areas Shown in Published Land Prices in 2002

28

(9) Abundant market opportunities

• Life Science– The Market size of medicine and medical device will be 8.4 trillion ye

n in 2010.Expanding market of medicines and medic

al devices reprecting advanced biotechnology.

Increasing awareness of health care in the going society promotes consumption of healthy functional food.

Growing health information services and creation of high-income employment.

• Life Science– The Market size of medicine and medical device will be 8.4 trillion ye

n in 2010.Expanding market of medicines and medic

al devices reprecting advanced biotechnology.

Increasing awareness of health care in the going society promotes consumption of healthy functional food.

Growing health information services and creation of high-income employment.

27.0%

36.5%

20.0%

0%

5%

10%

15%

20%

25%

30%

35%

40%

1950 1970 1990 2010 2030 2050

Sweden

J apan

Germany

United Kingdom

United States

Percentage aged 65 or over (%)

Source; “World Population Prospects, 2002” (UN)

Percentage aged 65 or over (%)

Source; “World Population Prospects, 2002” (UN)

29

• Information and Communications Technology (ICT)

– ICT has been a leading and fast-growing industry. Its market is more them 10% of that of all industries.

• Environment– The environment related industry is a highly-growing

market, and it is estimated to be 47.2 trillion yen (430 billion $) in 2010.

• Information and Communications Technology (ICT)

– ICT has been a leading and fast-growing industry. Its market is more them 10% of that of all industries.

• Environment– The environment related industry is a highly-growing

market, and it is estimated to be 47.2 trillion yen (430 billion $) in 2010.

79

89

98104

107

115119

116

8.6%

9.3%

10.1%

10.9%11.2%11.8%

12.2%12.0%

60

70

80

90

100

110

120

130

1995 1996 1997 1998 1999 2000 2001 2002

6%

7%

8%

9%

10%

11%

12%

13%

market size (trillion yen)

share of all industry (%)

ICT market size and share of all industry in Japan

ICT market size and share of all industry in Japan

Source: WHITE PAPER Information and Communications in Japan (2004)

Source: WHITE PAPER Information and Communications in Japan (2004)

29.9

76.9

47.2

111.9

58.4

123.6

0

20

40

60

80

100

120

140

2000 2010 2020

market size (trillion yen)

size of employees (10 thousand)

Environmental Services Industry market size in Japan

Environmental Services Industry market size in Japan

Source: Ministry of the Environment (May 2003)Source: Ministry of the Environment (May 2003)

30

(10) Living environment

• Those moving to Japan will find that everything needed to make life satisfying is already in place.

– Japan has a first-rate medical system that has begun accepting more foreign doctors.

– International schools are widely available for children.

– Foreign-language sources of information are easy to find.

– Numerous amusement parks, other leisure facilities, and fascinating buildings. Japan is rich in culture and nature.

• Expatriates stationed in Japan will find a comfortable, convenient and safe living environment, all in a vibrant cultural setting.

• Those moving to Japan will find that everything needed to make life satisfying is already in place.

– Japan has a first-rate medical system that has begun accepting more foreign doctors.

– International schools are widely available for children.

– Foreign-language sources of information are easy to find.

– Numerous amusement parks, other leisure facilities, and fascinating buildings. Japan is rich in culture and nature.

• Expatriates stationed in Japan will find a comfortable, convenient and safe living environment, all in a vibrant cultural setting.

31

(1) What Is Invest Japan Window?• Unified contact point to foreign investors (located at eac

h ministry and JETRO, etc.)• Established in May 2003 (Over 1,000 contacts in the firs

t year) (2) Window’s Functions

• Provide comprehensive information and consultation on FDI into Japan

• Inquire ministries in charge from each window (one-stop window)

• Answer in ten days (ave. 3 days)

7. Invest Japan Window

32

(3)Any inquiries and troubles

We are waiting for your contact!

Cabinet Office: invest-japan@mfs.cao.go.jp http://www5.cao.go.jp/access/english/jic_main_e.html

JETRO: invest-japan@jetro.go.jp http://www.jetro.go.jp/