Market Chatter: Japan's Industry Ministry Seeks 7.8 Trillion Yen for Chips, AI

MT Newswires Live09-01 10:20

Japan's Industry Ministry requested an unprecedented 7.8 trillion yen for semiconductors and AI investments, Bloomberg News reported on Tuesday, citing Yuko Tamai, a METI official.

The request, aligning with Prime Minister Takaichi's 370 trillion yen growth agenda, reflects a budget overhaul allowing ministries to submit proposals without spending caps in a single round, the news wire said.

Tamai said the sum exceeds the 5.27 trillion yen allocated in the current fiscal year's initial and supplementary budgets combined, though she could not confirm if it was the ministry's largest ever, the publication said.

The proposal comes as Japan expects to boost GDP by up to 290 trillion yen by 2040 through AI adoption, the report said.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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