Japan to invest 10 trillion yen in India in next 10 years

Prime Minister Narendra Modi on Friday said India and Japan have laid the foundation for a "new and golden chapter" in their special strategic partnership, unveiling a 10-year cooperation roadmap across several sectors, including technology, defence, and innovation.

- MPOST BUREAU

Addressing a joint press conference with his Japanese counterpart, Shigeru Ishiba, PM Modi said Japanese technology and Indian talent form a winning combination, highlighting the importance of leveraging each other's strengths amid global geopolitical challenges. The two sides have signed 13 MoUs and agreements and set a target of 10 trillion yen in investment in India over the next decade.

"Strong democracies are natural partners in shaping a better world. At the core of our vision are investment, innovation, economic security, environment, technology, health, mobility, people-to-people exchanges, and state-prefecture partnerships," Modi said.

His remarks come as India seeks to deepen relations with traditional allies like Japan and boost investments amid a downturn in ties with the United States, which has imposed a 50% tariff on New Delhi.

While underscoring that semiconductors and rare earth minerals will remain top priorities, the two leaders unveiled several new initiatives, including the Sustainable Fuels Initiative, Battery Supply Chain Partnership, and Economic Security Cooperation Initiative.

"Collaboration in high technology is a priority for both of us. In this context, Digital Partnership 2.0 and the AI Cooperation Initiative are being undertaken," the Prime Minister added.

In a major announcement, PM Modi said India and Japan would collaborate on the Chandrayaan-5 mission to the Moon.

The two countries also agreed to strengthen cooperation in defence and innovation.

The agreements and documents include the launch of transformative initiatives such as an economic security architecture to promote supply chain resilience in strategic sectors, including semiconductors, clean energy, telecom, pharmaceuticals, critical minerals, and emerging technologies.