Japan: Billion-Dollar Investment in Artificial Intelligence
Masato Kanda, Special Advisor to the Prime Minister of Japan, has been elected President of the Asian Development Bank
The Japanese government has announced about 10 billion dollars to sectors involved in the development of artificial intelligence systems. Part of the investment will go to semiconductor and microchip manufacturers, including the Rapidus rare earth processing plant in Chiyoda. The funds come from the so-called “supplementary budget for innovation” presented by Japan’s new prime minister, Shigeru Ishiba, who immediately after taking office at the top of the executive branch announced a financial plan of 10,000 billion yen (about $66.6 billion) between now and 2030 to support high-tech industries.
According to The Japan Times, “the funds include $7 billion for research and development of next-generation chips and quantum computers, and another $3.16 billion to support local production of advanced chips needed for the development of artificial intelligence.”
Thus, on the one hand, Japan wants to free itself from its alarming dependence on Taiwanese microchip manufacturers, and on the other hand, Tokyo hopes to keep up with the USA and China in the development of advanced technologies.
And as part of this and other new financial commitments by Japan, the current special advisor to Japanese Prime Minister Ishiba, Masato Kanda (pictured), has been elected president of the Asian Development Bank (ADB). Kanda, 59, will take office February 24, succeeding another Japanese, Masatsugu Asakawa, whose mandate would have expired in November 2026. “Kanda’s extensive experience in international finance and his proven leadership in multilateral formats will enable ADB to navigate complex global economic challenges and strengthen international cooperation,” commented Bank of Italy Governor Fabio Panetta, who also chairs ADB’s Board of Governors. During his career, Kanda has also served as vice finance minister for international affairs, deputy commissioner of the Financial Services Agency, deputy director general of the Budget Office, and assistant vice minister for political planning, Japanese media reports recall. He has also served as Chairman of the Corporate Governance Committee of the Organization for Economic Cooperation and Development (OECD) since 2016.
