Japan outlines new strategy to boost economy, aims to create lucrative “unicorn companies”

Welcome to the sequel of Abenomics.

You’ve got to hand it to Japan for trying to stimulate its economy in seemingly bizarre ways, such as forming a female idol group whose skirts shorten as stocks rise. But if the country is serious about improving growth, perhaps more concrete measures are required.

In light of the worrying trade friction between Japan and America, the Japanese government pledged to create mega IT companies similar to Google or Amazon that will pull the country’s faltering economy back on its feet.

▼ Which would also improve trade and innovation…
if they’re successful, of course.

To back up their words, they’ve outlined a new ambitious proposal that will create 20 private venture companies each with a net worth of 100 billion yen (US$914 million) by 2023.

The government hopes this move will allow Japan to establish its own version of “unicorn companies”, a prestigious title in the finance world bestowed upon privately-held startup firms valued at more than a billion dollars.

They are so named due to their rarity and creative innovation, and the government is currently developing policies to ensure these unicorn companies come to fruition and thus change Japan’s economic climate.

▼ One such unicorn company that changed the way we book cabs is Uber.

Japan is also set to embrace a more modernized world, as the proposal also includes shifting administrative procedures from archaic paper format to digitalized ones. Policies dealing with cutting-edge technology such as self-driving cars and artificial intelligence are also being considered.

In a country that still prefers fax machines and handwritten resumes, hearing all of that modernization sounds nice, but we’re dubious of how it will actually be carried out.

Prime Minister Shinzo Abe commented of the proposal:

“With the rapid progression of the digital revolution, we must not hold back. I want you to implement a major reform of the socio-economic system and compile an ambitious growth strategy.”

It’ll be great if we can see innovative unicorn companies spring up in Japan and give the country’s economy a shove in the right direction. But for all of the government’s meticulously planned policies, it could end up fizzling out like Cool Japan.

Source:　NHK News via Golden News
Top image: Pakutaso
Insert images: Pakutaso (1, 2)

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