Snapshot: foreign investment law and policy in Japan

Law and policy

Policies and practices

What, in general terms, are your government’s policies and practices regarding oversight and review of foreign investment?

Foreign investments and currency control in Japan are primarily regulated by the Foreign Exchange and Trade Act (FEFTA). The FEFTA aims to ensure proper development of foreign transactions and maintenance of peace and security for both the Japanese and international business communities via certain minimum necessary controls over, and coordination of, foreign transactions. The provisions of the FEFTA are intended to create a balance of payment equilibrium and ensure stability of currencies, thereby contributing to the sound development of the Japanese economy.

The Japanese government’s policies and measures taken with respect to foreign investment are best comprehended by taking an overview perspective of the FEFTA;…



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