Discussions focused on attracting long-term capital flows, expanding investment partnerships, and deepening Japanese participation in India’s growth story. Key drivers of economic growth discussed included the strength of India’s banking sector, robust capital adequacy, low levels of non-performing assets, expanding middle class, rising disposable incomes, semiconductors, artificial intelligence, data centers, renewable energy, green hydrogen, advanced manufacturing, and digital infrastructure.
On August 25, 2026, Union Minister of Commerce and Industry, Shri Piyush Goyal, held discussions in Tokyo with senior leaders of leading Japanese financial and investment institutions. The primary objective was to strengthen long-term capital flows, deepen investment partnerships, and expand Japanese participation in India’s growth story. Participants included representatives from MUFG, Development Bank of Japan (DBJ), Mizuho, Morgan Stanley, Nomura, and Nippon Life. Discussions focused on India’s economic outlook, emerging investment opportunities, and measures to further facilitate Japanese institutional investment in India.
Shri Goyal highlighted the strength and resilience of the Indian economy, noting that India recorded 7.7 per cent growth last year despite global uncertainties. He emphasized key drivers of sustained economic growth such as the strength of India’s banking sector, robust capital adequacy, low levels of non-performing assets, expanding middle class, and rising disposable incomes.
The Minister highlighted significant opportunities for Japanese investors in semiconductors, artificial intelligence, data centers, renewable energy, green hydrogen, advanced manufacturing, and digital infrastructure. He mentioned that India’s expanding renewable energy capacity and national power grid provide a strong foundation for the growth of energy-intensive digital industries, while the India Semiconductor Mission is creating new opportunities across manufacturing and technology.
MUFG highlighted its investment of around USD 4 billion in Shriram Finance and its expanding interests in areas including renewable energy and hydrogen. DBJ outlined its dedicated India strategy and growing interest in property development, venture capital, and other long-term investment opportunities. Mizuho highlighted the improving profitability of Japanese companies operating in India and the expansion of its India operations, including its Global Capability Centre in Pune.
Morgan Stanley described India as one of its most important global locations, with more than 19,000 employees, and highlighted the evolution of its India operations towards higher-value capital markets and financial services activities. Nomura highlighted its long-standing presence in India and its role in connecting Japanese companies and global industries with Indian opportunities, including through technology capabilities in areas such as artificial intelligence and cybersecurity. Nippon Life emphasised the importance of long-term ‘patient capital’ and noted the strong returns generated by its Indian operations.
The discussions also covered measures to further facilitate the flow of Japanese institutional capital into India. Participants highlighted the importance of simplifying processes for profit repatriation, improving access to Indian capital markets, and ensuring greater regulatory predictability for long-term investors.
Source:
Press Information Bureau
