Union Minister Piyush Goyal Drives India-Japan Economic Partnership to Uncover New Institutional Capital Flows in Tokyo

Union Minister of Commerce and Industry Piyush Goyal met with top Japanese financial leaders in Tokyo to accelerate bilateral investment and capital flows. The discussions highlighted India’s robust economic growth and key opportunities in advanced sectors like semiconductors, artificial intelligence, and clean energy. Leading Japanese institutions reaffirmed their long-term confidence in India while discussing measures to improve the ease of doing business and profit repatriation.

RMN News Business Desk
New Delhi | August 25, 2026

Tokyo Discussions Focus on Multi-Trillion Dollar Growth: Union Minister of Commerce and Industry Piyush Goyal held extensive bilateral discussions in Tokyo with the senior leadership of premier Japanese financial and investment institutions. According to a government communique of August 25, the high-level meeting brought together key representatives from major financial groups, including MUFG, Development Bank of Japan (DBJ), Mizuho, Morgan Stanley, Nomura, and Nippon Life, focusing on expanding long-term Japanese capital participation in India’s rapid economic expansion. The dialogue is highly significant as both nations strive to mobilize 10 trillion yen of Japanese private investment into India over the next decade.

India’s Strong Growth Fundamentals and Emerging Sectors: During the meetings, Minister Goyal highlighted the resilience of the Indian economy, which recorded a robust 7.7 percent growth last year despite ongoing global uncertainties. He outlined India’s strategic vision to transition into a USD 30 trillion economy by the year 2047, driven by a strong banking sector, low levels of non-performing assets, high capital adequacy, and a rapidly expanding middle class with rising disposable incomes.

The Minister presented lucrative investment avenues for Japanese institutions in high-growth, technology-driven fields, including semiconductors, artificial intelligence, data centers, renewable energy, green hydrogen, advanced manufacturing, and digital infrastructure. He specifically noted that the India Semiconductor Mission offers major manufacturing and technological opportunities, supported by a strong national power grid and expanding clean energy capacity to fuel these energy-intensive digital industries. Goyal reiterated that India is seeking long-term strategic partnerships that bring not only capital but also technology, innovation, and integration into global value chains.

Japanese Institutions Outline Strategic Engagements and Successes: The participating Japanese financial institutions expressed their strong, long-term confidence in India’s growth trajectory and shared updates on their expanding operations in the country:

• MUFG emphasized its investment of approximately USD 4 billion in Shriram Finance, alongside its growing interest in hydrogen and renewable energy projects.
• Development Bank of Japan (DBJ) discussed its dedicated investment strategy for India, focusing on venture capital, property development, and long-term opportunities.
• Mizuho noted the rising profitability of Japanese firms in India and the growth of its local footprint, including its Global Capability Center located in Pune.
• Morgan Stanley described India as one of its crucial global hubs, boasting more than 19,000 employees and moving toward higher-value capital markets and financial services.
• Nomura highlighted its deep-rooted presence in India, connecting international and Japanese industries with local opportunities through advanced artificial intelligence and cybersecurity capabilities.
• Nippon Life underscored the value of committing “patient capital” to the Indian market, pointing out the highly attractive returns generated by its Indian business.

Enhancing the Ease of Doing Business and Capital Flows: To further facilitate the flow of institutional capital, the roundtable addressed regulatory and operational considerations. Japanese financial leaders raised key points regarding the simplification of profit repatriation, enhanced access to local capital markets, and the necessity of regulatory predictability for making long-term investment decisions. They also noted that while their long-term strategic outlook remains highly positive, short-term decisions can be influenced by policy considerations and currency fluctuations.

Minister Goyal welcomed the constructive feedback and reaffirmed the Indian Government’s unwavering commitment to improving the ease of doing business and establishing a seamless investment environment. The discussions also explored utilizing GIFT City as a premier gateway to streamline cross-border capital flows and international investments between India and Japan.