Author: Lynk – lynk.global
With a rapidly ageing population and a pandemic-battered economy, tackling COVID-19 and reviving the world’s third largest economy are Japanese Prime Minister Yoshihide Suga’s priorities. However, this has proven to be quite a challenge due to the sluggish pick-up in business sentiment.
To prop up the economy, Japan has launched a large fiscal stimulus, including direct payments to households and low-cost loans provided by the Bank of Japan. Suga’s administration has also launched a “Go To” campaign to subsidise domestic tourism.
“In terms of how Japan grapples with this so-called “new normal” and with corona, Japan is looking at how it might attract some of the business from potentially Hong Kong,” said Melanie Brock, CEO of Melanie Brock Advisory and non-executive director of Sega Sammy Holdings in a recent Lynk Speaker Session that took place shortly after Suga took office.
“We’d like to see Tokyo be given the status of sort of a financial capital. A lot of work is being done at the moment at the Tokyo Metropolitan government level looking at how that might happen. But of course, we know that the current tax regime and the inheritance tax, and some other measures that are levied against foreign talents are making it difficult for companies to move forward with their any decisions to bring people in,” added Brock.
This article was originally published on Lynk Insights.
The conversation took place in the Lynk Speaker Session titled ‘The Japan Story: Opportunities in the New Normal’ on September 23, 2020.
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