Ageing Japan relooks its financial plans

A larger proportion of younger people have put money into tax-exempt investment schemes

The Business Development Centre Tokyo helps financial and fintech companies that want to enter Tokyo, providing help like advice on available subsidies. Over the past two years or so, the service has helped more than 100 firms. ST PHOTO: SEOW BEI YI
The Business Development Centre Tokyo helps financial and fintech companies that want to enter Tokyo, providing help like advice on available subsidies. Over the past two years or so, the service has helped more than 100 firms. ST PHOTO: SEOW BEI YI
The Business Development Centre Tokyo helps financial and fintech companies that want to enter Tokyo, providing help like advice on available subsidies. Over the past two years or so, the service has helped more than 100 firms. ST PHOTO: SEOW BEI YI
Tokyo Governor Yuriko Koike believes the city can differentiate itself from other hubs as it has "investment opportunities that are not available" in these other cities.
PHOTO: TOKYO METROPOLITAN GOVERNMENT
The Business Development Centre Tokyo helps financial and fintech companies that want to enter Tokyo, providing help like advice on available subsidies. Over the past two years or so, the service has helped more than 100 firms. ST PHOTO: SEOW BEI YI
Director of the strategy development division at the Financial Services Agency Yasumasa Tahara said the Japanese public is generally risk-averse. PHOTO: TOKYO METROPOLITAN GOVERNMENT
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In rapidly ageing Japan, recent concerns over retirement adequacy have prompted more young people to dip into their savings and make use of tax-exempt investment schemes offered by the authorities.

This may go some way in mobilising the 991 trillion yen (S$12.4 trillion) in household financial assets that are locked away in cash and deposits, boosting Tokyo's attractiveness as a financial hub.

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A version of this article appeared in the print edition of The Straits Times on December 11, 2019, with the headline Ageing Japan relooks its financial plans. Subscribe