Provisional Translation
FY2018 Report on Priority Measures and Others for Innovative
Business Activity Action Plan
I. About this Report
In December 2012, the Cabinet decided to establish the "Headquarters for Japan's Economic
Revitalization," with Prime Minister serving as its head and all Ministers of State as its members.
Under the Headquarters, the Cabinet also decided in January 2013 to hold meetings of the "Industrial
Competitiveness Council." Under the "Headquarters for Japan's Economic Revitalization," moreover, it
was decided in September 2016 to hold meetings of the "Council on Investments for the Future."
The Cabinet approved the followings so far:
• In June 2013, the "Japan Revitalization Strategy" was approved by the Cabinet.
• In January 2014, the "Action Plan for Strengthening Industrial Competitiveness" was approvedby the Cabinet.
• In June 2014, the "Japan Revitalization Strategy (Revised in 2014)" was approved by the Cabinet.
• In February 2015, "FY2014 Report on Priority Measures for Strengthening Industrial
Competitiveness" was approved by the Cabinet and submitted to the Diet.
• In February 2015, the "Action Plan for Strengthening Industrial Competitiveness (2015)" wasapproved by the Cabinet.
• In June 2015, the "Japan Revitalization Strategy (Revised in 2015)" was approved by the Cabinet.
• In February 2016, the "Action Plan for Strengthening Industrial Competitiveness (2016)" wasapproved by the Cabinet.
• In February 2016, "FY2015 Report on Priority Measures for Strengthening Industrial
Competitiveness" was approved by the Cabinet and submitted to the Diet.
• In June 2016, the "Japan Revitalization Strategy 2016" was approved by the Cabinet.
• In February 2017, the "Action Plan for Strengthening Industrial Competitiveness (2017)" wasapproved by the Cabinet.
• In February 2017, "FY2016 Report on Priority Measures for Strengthening Industrial
Competitiveness" was approved by the Cabinet and submitted to the Diet.
• In June 2017, the "Future Investment Strategy 2017" was decided by the Cabinet.
• In December 2017, the “New Economic Policy Package” was decided by the Cabinet.
• In June 2018, the "Future Investment Strategy 2018” and “Action Plan for Innovative Business
Activity” (hereinafter referred to as the "Action Plan") was approved by the Cabinet.
This Report summarizes the measures and the progress and implementation status concerning themeasures for innovative business activities that are stipulated in the Action Plan (hereinafter referred toas the "Priority Measures").
This Report has been formulated in accordance with Article 6, Paragraph 9 of the Act on Special
Measures for Productivity Improvement (Act No. 25 of 2018), which requires formulation of a report at
the end of each fiscal year for submission to the Diet, concerning the progress, implementation status,and evaluation results of these priority measures.

1

Provisional Translation

II. Progress, Implementation Status and Effectiveness of Priority
Measuresi. Priority sectors for future actions to realize “Society 5.0” and driving
force of renovation “Flagship Project” and others[1] Change of “Life” and “Industry”
1. Development of next-generation mobility system
1) Progress in achieving KPI targets1
<KPI>

<KPI>

<KPI>

“In 2020, 90% or more of the new passenger cars sold in Japan will havean automatic braking system.”[3]⇒ The current percentage of such "new" passenger cars in Japan: 77.8% (2017)“In 2020, 20% of the automobiles in Japan (stock base) will have asafety driving support device/system, which accounts for 30% of theworld's total.” [4]⇒ The current percentage of such automobiles in Japan: 14.1% (2017)
Japan’s share of such automobiles in the global market: 16.2% (2016)“In 2030, all “new” automobiles in Japan will have a standard safety
driving support device/system. In addition, almost all automobiles(stock base) will have such a device/system.” [5]⇒ The current percentage of such new automobiles sold in Japan: 68.7% (2017)
The current percentage of such automobiles in Japan: 14.1% (2017)2) Progress made in implementing measures
MeasureContents and completion deadline

Progress and implementation status

Smooth and• Demonstration experiments of the • Ministry of Economy, Trade andquick promotion
unmanned automated driving
Industry and Ministry of Land,of demonstrationtransportation service in more
Infrastructure. Transport andprojects
actual situations have been
Tourism performed demonstration
conducted since FY2018 with anexperiments in Eiheiji-cho, Fukui
aim to realize the service in 2020.
Prefecture for a single driver to
Activities to realize business of
remotely monitor and operatesuch services are accelerated,
multiple automated driving
including demonstration
vehicles. With an aim at social
experiments where a single driver
implementation of the automatedremotely monitors and operates
driving transportation service atmultiple vehicles, demonstration
road-side stations “Michi-no-eki”
experiments for a longer periodby 2020, Ministry of Land,of time, and demonstration
Infrastructure. Transport andexperiments not only in
Tourism performed demonstration
mountainous areas but also in soexperiments for a long period of acalled old new towns in suburban
month or longer in collaboration
areas where aging of thewith local companies to secure
population is in progress..
human resources and logistics in
1

2

Minister in charge 2
Prime Minister(Minister in charge ofInformation
Technology Policy,
Minister of State for
Science andTechnology, Ministerof State for Regional
Revitalization,
National Public Safety
Commission
Chairman), Minister ofInternal Affairs andCommunications,
Minister of Economy,
Trade and Industry,
Minister of Land,
Infrastructure,
Transport and Tourism

The number in [ ] at the end of each KPI target represents the corresponding serial number in the attached "Progress in KPI Targets"for reference.
Article 6, Paragraph 2, (iii) of Nos. 3 to 5 of the Act on Special Measures for Productivity Improvement stipulates that the "responsible
minister" in the Action Plan for Strengthening Industrial Competitiveness means the competent minister stipulated in the Cabinet Act(Act No. 5 of 1947). For this reason, Prime Minister is listed here for the responsible minister as the competent Minister of affairs
pertaining to the Cabinet Secretariat and the Cabinet Office. As a reference for evaluating the implementation status and effectivenessof priority measures in accordance with the Act on Special Measures for Productivity Improvement, however, the Minister of State,
who assisted Prime Minister in the said measure at the point when this Report was formulated is also listed in parentheses for reference.

2

Provisional Translation

hilly and mountainous areas whereaging of the population is inprogress. In addition in February
2019, demonstration experimentsof automated driving vehicles were
performed in so-called old new
towns in Tama-shi, Tokyo andMiki-shi, Hyogo Prefecture.
• To show the state-of-the-art• In order to build a driving
automated driving technology toenvironment that can realize
domestic and foreign visitors at
vehicle-infrastructure cooperative
the 2020 Tokyo Olympic andautomated driving that utilizes
Paralympic Games and make it atraffic signal information andlegacy, an infrastructure to
merging support information
provide traffic signal information
provided from traffic infrastructure
to vehicles, magnetic markers,
in the Haneda Airport area andand inter-vehicle communication
Tokyo Waterfront City area,
specific areas and functions andsystem will be developed bylocations of necessary traffic
FY2019 in Haneda Airport andinfrastructures are being surveyed
Tokyo Waterfront area to performand examined within thethe state-of-the-art demonstration
framework of the Cabinet Officeexperiments of remote operations
SIP. Participants have begun to be
and full automated driving.
recruited to provide aninternationally open opportunity for
implementation of demonstration
experiments from the second halfof 2019.
Development of • Safety requirement and safety
the system formeasures for automated driving
the realization ofvehicles will be examined and a
automatedguideline will be created bydrivingaround summer of 2018. In
addition, specific safety standardsof new technologies will beestablished one by one withouthindering innovation to leadestablishment of international
standards.

3• “Guideline of Safety Technologyof Automated Driving Vehicles,”which described safety
requirements and safety measures
for automated driving vehicles, wasformulated and released in
September 2018.
Currently, standards are being
formulated step by step on the basisof international discussions withspecial attentions to not hinderingof progress or diversity oftechnological development.
Recently, a standard on automaticlane changing on a expressway(starting from a turn signal
operation) agreed at the United
Nations in March 2018 wasformulated and released in October
2018. In addition, an amendment 3of Road Transport Vehicle Act was
submitted to the ordinary Diet
session in 2019 for not only safe
development, practical application,and promotion of automateddriving vehicles but also securingof the safety of automated driving
vehicles and others in an integrated
way from design andDraft to partly amend the Road Transport Vehicle Act

3

Prime Minister(Minister in charge ofInformation
Technology Policy,
Minister of State for
Science andTechnology, Ministerof State for Regional
Revitalization,
National Public Safety
Commission
Chairman), Minister ofInternal Affairs andCommunications,
Minister of Economy,
Trade and Industry,
Minister of Land,
Infrastructure,
Transport, andTourism
Prime Minister(Minister in charge ofInformation
Technology Policy,
Minister of State for
Science andTechnology, National
Public Safety
Commission
Chairman), Minister of
Economy, Trade andIndustry, Minister ofLand, Infrastructure,
Transport and Tourism

Provisional Translation

manufacturing process tooperational process.

4

Provisional Translation

New activity fordevelopment of
next-generation
mobility system

4• As for traffic rules, examining• Actively joining international
review of the current driver’s
discussions as a member of Global
responsibilities related to rules
Forum for Road Traffic Safety
for drivers who use automated(WP.1) in Inland Transport
driving vehicles on what
Committee of the United Nations
activities other than driving
Economic Commission for Europe(secondary activities) can be(UNECE), the Japaneseallowed during automatedgovernment created a draft
driving, is in progress while
amendment 4 to the Road Traffic
Act, which contained theleading the international
establishment of regulations
discussions and collaborating
concerning driver’s responsibilities,
with associated nations.
on the basis of the discussion of
Furthermore, examine new“Investigative Committee for the
responsibilities of the drivers who
Realization of Automated Driving
use automated driving vehicles
Based on the Direction ofand penalty for nonconformity
Technological Development”
with the rules in the Road Traffic
regarding the revision of the Road
Act during automated driving isTraffic Act for Level-3 automatedin progress. These issues,
driving. The amendment was
including necessity of law
submitted to the ordinary Diet
amendment at the ordinary Diet
session in 2019.
session in 2019, will be examined
in FY2018 in the investigative
committee with experts.
• For the Business Act, measures to • To formulate a guideline of what
secure safety of transport andtransportation companies should
convenience of passengers forhandle, a hearing survey for
unmanned vehicles will becompanies which will introduce
examined in FY2018..
automated driving vehicles isconducted to identify things thatshould be clarified in the guideline,
which will finish by the first half of2019.

Prime Minister(Minister in charge ofInformation
Technology Policy,
Minister of State for
Science andTechnology, National
Public Safety
Commission
Chairman)• In order to promote mobility
services and others (MaaS) thatcreate new added value by
connecting various traffic
services with data , we will
discuss advancement of traffic
services including on-demandtransport, construction of
platforms through data linkage
using API, etc., and the legal
system corresponding to thosesituations in FY2018.

Prime Minister(Minister in charge ofInformation
Technology Policy,
Minister of State for
Science andTechnology, National
Public Safety
Commission
Chairman), Minister of
Economy, Trade andIndustry, Minister ofLand, Infrastructure,
Transport and Tourism• Ministry of Economy, Trade andIndustry held “Workshop of New
Mobility Service realized by IoT
and AI” with corporate members
and knowledgeable members. In
the workshop, they discussed
various kinds of services including
MaaS and identified important
issues such as delays indigitalization of mobility-relateddata, barriers between companies
which hinder the data linkage, andlack of collaboration with different
industrial sectors. Ministry ofLand, Infrastructure. Transport andTourism held “Informal
Conference of Mobility Services inCities and Rural Areas” withknowledgeable members and madeDraft amendment to the Road Traffic Act

5

Prime Minister(Minister in charge ofInformation
Technology Policy,
Minister of State for
Science andTechnology, National
Public Safety
Commission
Chairman), Minister of
Economy, Trade andIndustry, Minister ofLand, Infrastructure,
Transport and Tourism

Provisional Translation

an interim report on activities topromote new mobility services
including MaaS.

6

Provisional Translation

2. Development of next-generation health care system
1) Progress in achieving KPI targets<KPI>“Extend healthy life expectancy by more than one year by 2020 andmore than two years by 2025 [Men: 70.42 years old, Women: 73.62 years
old (2010)]” [8]⇒ 2016: Men: 72.14 years old, Women: 74.79 years old2) Progress made in implementing measures
MeasureContents and completion deadline

Promotion of use of • By issuing individually the IDbase data for
number of the insured of healthhealth, medical,
insurance and using theand nursing
infrastructure of the “Myservices suitable for
Number” system to centrally
individuals
control the health insurance
qualification information of theinsured which is associated witha career change or retirement,“online verification of healthinsurance qualifications” where
My Number Card can be used ashealth insurance card will beformally started by 2020.
• A specific schedule to create anationwide health and medical
information network where
medical agencies can share
information of health check,
medical treatment, and drugs ofindividuals will be establishedby summer of 2018 with aviewpoint on cost effectivenesstaken account of, with an aim atformal start of the network in
FY2020 after necessary
demonstrations. In addition, theschedule shall include provisionof nursing information in thehealth and medical information
network.

5

Progress and implementation status
5• An amendment of the Health
Insurance Act including introductionof “online qualification checksystem,” where My Number Cardcan be used as health insurance cardby issuing individually the ID
number of the insured of healthinsurance and centrally controlling
history of qualification information
by insurers, and establishment of“medical information technology
supporting fund” to support initialintroduction of the system to medical
agencies and pharmacies was
submitted to the regular Diet in 2019.
• The schedule was discussed in"Study meeting for medical-sector
information sharing system” of the
Ministry of Health, Labor andWelfare. The schedule of thenationwide network of health andmedical information and nursing
information was made open at "Data
Health Reform Promotion
Headquarters" of the Ministry of
Health, Labor and Welfare in July
2018. Furthermore, a survey
necessary for demonstrations of thehealth and medical record sharing
service and establishment of the
network was performed in FY2018
according to the schedule.

Minister in charge
Prime Minister(Minister in chargeof Information
Technology Policy,
Minister of State
for My Number
System), Ministerof Finance,
Minister of Internal
Affairs andCommunications,
Minister of Health,
Labor and Welfare

Minister of Internal
Affairs andCommunications,
Minister of Health,
Labor and Welfare

Draft to partially amend the Health Insurance Act for appropriate and efficient management of the medical insurance system

7

Provisional Translation• To realize nationwide ICT
application and information
sharing for nursing and todevelop efficient and effective
collaboration of nursing people,
standard specifications of theinformation sharing between
home care support offices andhome-visit care service offices
will be studied and determined
in FY2018. Moreover, ICTbased collaboration in medical
treatment and nursing will bedemonstrated in FY2018 andobtained results will be used tostart discussions on standard
specifications.

• In the FY 2018 budget project, thestandard specifications necessary forcare plan information sharing
between the home care support
offices and the home service offices
were created. To introduce ICT in thenursing care sector, an ICT
introduction support project for
nursing care offices utilizing the The
Fund for Comprehensively Securing
Regional Health and Long-term Carewas incorporated in the FY2019
budget.
Also in the FY 2018 budget project,demonstrations of data
standardization necessary for
information sharing between medical
agencies and nursing care offices
were performed. To create certain
standard specifications of necessary
information for the medical-nursing
collaboration on the basis of thedemonstrations, necessary study will
be performed in the FY2019 budget
project.
• Data of PHR (Personal Health• Examination on a system to provide
Record), which is a system tothe person through Mynaportal withlead the individual and family todata such as specific medical
understand individual's healthexamination data and drug
condition and medication
information was reported in Medical
history, etc. and lead to daily life
Insurance Subcommittee of Social
improvement and health
Insurance Council in December,promotion, will be formally
2018, and drug information will be
provided to the person etc.
formally provided around Octoberthrough Mynaportal from2021. To start formal provision of
FY2020.
specific medical examination data in
FY2020, arrangement of medical
examination result items which need
to be presented and an easy-tounderstand way of showing them will
be discussed in detail.
• Therefore, in addition to• "Study meeting on utilization of
vaccination history (starting
maternal and child healthfrom FY2017), provision of
information in the data health age"
medical checkup data such as
was held to discuss utilization of
specific medical checkup andmaternal and child healthinfants medical checkup will be
information such as infants medical
started in FY2020. Furthermore,examination information and anprovision of medical
interim report was created in July
information such as drug
2018. The report suggests that a
information will be examined
standard format of electronic record
based on necessity, costof infants medical examination andeffectiveness, etc. Conclusions
pregnant woman medical
will be obtained in FY2018 andexamination and information to bea necessary schedule iscomputerized at the minimum will be
examined with an aim to start
examined and a system to use the My
providing data as early as
Number system for users to view
possible after FY2021.
data on Mynaportal in and after
FY2020 will be developed.

8

Minister of Internal
Affairs andCommunications,
Minister of Health,
Labor and Welfare

Prime Minister(Minister in chargeof Information
Technology Policy,
Minister of State
for My Number
System), Ministerof Internal Affairs
andCommunications,
Minister of
Education, Culture,
Sports, Scienceand Technology,
Minister of Health,
Labor and WelfareProvisional Translation

Promotion of health • For creation of a demonstration
making and disease
field where local governments,
and care prevention
researchers, companies, etc.
activities incooperate and produce newcollaboration withproducts and services that are
workplaces and"friendly to people withlocal communities
dementia", including creation ofan environment for super-early
prevention and life support andsocial acceptance of people withdementia, a framework will be
developed to promotecollaboration among thegovernments and private sectors
for dementia research in
FY2018.

• A round table consisting ofspecialists in various fields such as
pathology, geriatrics, and nursing
care was established as a publicprivate partnership demonstration
platform project for dementia in
FY2018, and development of ademonstration field was discussed
for environmental improvement forsuper-early prevention, life support,
and social acceptance.

Prime Minister(Minister in chargeof health andmedical strategy),
Minister of
Education, Culture,
Sports, Scienceand Technology,
Minister of Health,
Labor and Welfare,
Minister of
Economy, Tradeand Industry

Promotion ofprovision ofefficient, effective,
and high-quality
medical and careservices andcollaboration ofmultiple work
fields associatedwithcomprehensive
regional care

• For forms required by thegovernment and local governments,
documents related to (1) designatedapplications, (2) remuneration
claims, and (3) guidance audits arebeing reviewed. For (1), a ministerial
ordinance was amended in October
2018 to partially eliminate
submission items. For (2) and (3),actual situation regarding the
documents was surveyed in FY2018
and a direction of temporal revision
was determined. Based on the above,necessary actions will be taken early
FY2019.

Minister of Health,
Labor and Welfare• In the FY2030 budget, thedemonstrations were performed froma viewpoint of security etc. to enablesafe and effective online medical
treatment.
A necessary revision of a system toprovide online medical care andmatters regarding medical treatment
in January 2019 is being discussed at"Study meeting for review ofguideline about appropriate
implementation of online medicalcare" for more safe and effective
implementation of online medical
care.

Minister of Internal
Affairs, Minister of
Health, Labor andWelfare, Ministerof Economy, Tradeand Industry• In order to take advantage of
information cooperation in thenursing care sector and ICT in
the care offices to drasticallyreorganize and streamline thebusiness, actual situation
regarding the forms that the
government and local
governments require the careservice offices to create will besurveyed and temporal revision
will be implemented in FY2018.
After that, further revision
including revision of the
documents that the businessestablishments create
individually will be performed
to decrease effective amount of
documents by half.
• For safe and appropriate spreadof online medical treatment,
demonstrations will be
performed from a viewpoint of
security etc. on the basis of new
evaluation items and new
guidelines for medical treatment
fee revision in FY2018,reflection of their technologicaloutcome to a guideline andmedical treatment fee revision
will be examined.

9

Provisional Translation• In order to further improve online medical care, data and caseexamples regarding theeffectiveness and safety of
online medical care including
those not currently targeted for
medical treatment fee will becollected to grasp the actual
situation in cooperation with
relevant academic societies andbusiness operators. Through thedata collection and situation
grasping, the evidence will be
continuously accumulated. The
evaluation on the basis of theaccumulated evidences will be
performed for revision of the
medical service fee from thenext term.
• On the basis of demonstrationsin the National Strategic Special
Zone, it will be examined toincorporate online medication
instruction in the next revisionof the Pharmaceuticals andMedical Devices Act. 6

67• In the “Special survey on the resultsof FY2018 medical care fee
revisions”, facility surveys andpatient surveys are conducted mainly
for medical institutions which
submitted notification regarding
facility criteria for online medicalcare fees. In addition, surveys havebeen conducted to relevant academic
societies regarding the utilization of
ICT including online medical care ineach medical care area.

• An amendment 7 of thePharmaceuticals and Medical
Devices Act regarding online
medication instruction was submitted
to the regular Diet in 2019. The
amendment states that, medication
can be instructed on video phone etc.
as an exception to face-to-facemedication instruction duty if it isconfirmed that proper use of
medicines through the video phone
etc. can be ensured.

Act to ensure quality, validity, and safety of drugs and medical devices (Act No. 145 of 1960)
Draft to partially amend the Act to ensure quality, validity, and safety of drugs and medical devices

10

Minister of Health,
Labor and WelfareProvisional Translation

3. Next generation industrial system
1) Progress in achieving KPI targets
<KPI>

<KPI>

<KPI>

More than 2% annual improvement in the labor productivity of the
manufacturing industry.”[20]⇒ 2017: 1.9%
By 2020, achieving 80% of companies to collect data at their factories,and 40% of them to link their collected data to solving specificmanagement issues.[21]⇒ 2018: Each was 58% & 26%
In 2020, achieving the size of the domestic robot production in the
manufacturing area to 1.2 trillion yen and in the non-manufacturing
areas such as services to 1.2 trillion yen. [6]⇒ 2017: Manufacturing sector: approx. 900 billiion yen, non-manufacturing: approx.
180 billion yen

2) Progress made in implementing measures

8

MeasureContents and completion deadline

Progress and implementation
status

Minister inchargeThe servitization of
manufacturing• The government will verify the
implementation status of the "Japan’s
Robot Strategy” (decision by the
Headquarters for Japan's Economic
Revitalization on February 10, 2015). At
the same time, not only through the useof robots but also through the mutual
collaboration among robots and thedramatic expansion of robot application
areas by using the latest technologies
including AI and IoT, the government
will assess and organize the model, at
which the society should aim in order to
optimize industry sites and human life asa whole, private sectors’ effort, and thenecessary measure system by the next
spring.
• The government will promptly revise thepermission and approval procedures inaccordance with the Civil Aeronautics
Act (Act No. 231 of 1952) in order tostart full-scale deployment of package
deliveries in mountainous areas using
small unmanned aerial vehicles from
FY2018.

• In light of the emergence ofdiverse working style needs inrecent years anddiversification of users andplayers involved in the robot
industry, the ideal form of asociety that optimizes theentire field of industry andpeople's lives and therealization of such a society
will be studied by setting up a
meeting body consisting of
relevant ministries andagencies, and will be reviewed
before the summer of 2019.

Minister of
Economy, Tradeand Industry• In September 2018,
See the footnote. 8
examination procedure for
permission and approval under
the Civil Aeronautics Act (ActNo. 231 of 1952) was revised,
and in November of the same
year, luggage was delivered by
non-visual flight without anassistant.

Prime Minister (Chief Cabinet Secretary, Minister in charge of Information Technology Policy, Minister in charge of economic
revitalization, Minister in charge of Cyber Security Strategic Headquarters, Minister of State for Regional Revitalization, National
Public Safety Commission Chairman), Minister of Internal Affairs, Minister of Justice, Minister of For Foreign Affairs, Minister of
Education, Culture, Sports, Science and Technology, Minister of Health, Labor and Welfare, Minister of Agriculture, Forestry and
Fisheries, Minister of Economy, Trade and Industry, Minister of Land, Infrastructure, Transport and Tourism, Minister of Defense,
Minister of Reconstruction

11

Provisional Translation[2] Change of “food” of economic activities
1. Energy and Environment1) Progress in achieving KPI targets
<KPI>

<KPI>

“Increase the ratio of next-generation automobiles to 50-70% of total
new passenger car sales by 2030” [32]⇒ The ratio of next-generation automobiles is 36.7% of total new passenger car sales(FY2017)“Develop hydrogen stations at about 160 locations by FY2020 and about
320 locations by FY2025 across Japan.” [23]⇒ 103 stations were established. (End of March 2019)2) Progress made in implementing measures
Progress and implementation
status

Minister incharge• Witha decision to realize a virtuous
cycle of the environment and economic
growth, leading global energy transitionand decarbonization, the Japanese
government, as the G20 chair-country in
2019, formulates the long-term strategy
as a growth strategy for economic andsocial development with lower
greenhouse-gas emissions under
underthe Paris Agreement. For thispurpose, a conference will be set up
withexperts from the financial, businessand academia sectors, under which therelevant ministries will work together topromote the review.

• In order to formulate the longterm strategy, a “meeting on aLong-Term Strategy under theParis Agreement as Growth
Strategy” was held in July
2018, consisting of experts
from various fields such as
financial, business, andacademic sectors. Based on
the discussions of the meeting,as the G20 chair-country in
2019, the Japanese
government formulates thelong-term strategy under
underthe Paris Agreement,
based on the decision torealize a virtuous cycle of theenvironment and growth,leading global energy
transition and decarbonization.

Minister of
Foreign Affairs,
Minister of
Economy, Tradeand Industry,
Minister of theEnvironment• Energy saving of business operators is
promoted through promotion of efficient
operation of facilities by cooperation ofmultiple business operators andutilization of IoT and AI, public releaseof data obtained through regulation andsupport in consideration of corporate
secrets of the data, and support offacility investment utilizing leasing.

• In order to promote thecooperation of multiple
businesses, not only measures
for taxation and equipment
introduction subsidy weremade in the tax systemrevision in 2018 but also an
amendment of the law on therationalization of the use ofenergy (Energy Saving law)
(Act No. 49 in 1979) was
promulgated in June 2018 andenforced in December of thesame year.

Minister of
Economy, Tradeand Industry

MeasureContents and completion deadline

Promotion of
innovation forenergy transitiontransitionand
decarbonization

Innovation ofenergy businessand environment
business using IoT
and AI12

Provisional Translation• To promote energy saving in the• A draft to partially amend theresidential sector, not only refurbishinglaw on the improvement ofof houses and buildings for lower energy
energy consumption
consumption was promoted but also selfperformance of buildings was
consumption ZEH utilizing advanced
submitted to the regular Dietenergy management was distributed byin 2019. In the amendment,
2030 so that new houses and buildings
large housing companies
would be of the type ZEH or ZEB on
supplying custom houses andaverage.
apartments for rent were added
to the target of the Top Runner
System for improvement ofenergy consumption
performance of houses andbuildings.

13

Minister of
Economy, Tradeand Industry,
Minister of Land,
Infrastructure,
Transport andTourism, andMinister of theEnvironment

Provisional Translation

2. Realization of FinTech/Cashless Society
1) Progress in achieving KPI targets
<KPI>

<KPI>

“Aim to introduce open API to 80 or more banks within next 3 years (byJune 2020).” [43]⇒ 124 banks announced at the end of March 2019 that they would introduce open API
by June 2020.
“Achieve a goal to increase the ratio of cashless payment in next 10
years (by June 2027) to about 40%.” [44]⇒ 2018: 24.1%

2) Progress made in implementing measures
MeasureContents and completion deadline

Review of the law
system based on
innovation progress• The relevant ministries and agencies
concerned will collaboratively consider
reviewing the financial and commercerelated laws and regulations for eachtype of business into function-based andcross-cutting laws that apply the same
rules to the same functions and risks.
The basic way of thinking for thedevelopment of such laws will be
studied in an interim report in FY2018.

• Since it is pointed out that identity
verification procedures using mail are aburden to both corporates and users, theRules for the Enforcement of the Crime
Revenue Transfer Prevention Act(Ministerial Ordinance No. 1 from
Cabinet Office, Ministry of Internal
Affairs and Communications, Ministryof Justice, Ministry of Finance, Ministryof Health, Labor and Welfare, Ministryof Agriculture, Forestry and Fisheries,
Ministry of Economy, Trade andIndustry, Ministry of Land,
Infrastructure, Transport and Tourism in2008) will be promptly revised and an
online identity verification method thatutilizes the image of the person's face
will be introduced.

14

Progress and implementation
status

Minister incharge• The Financial Council's"Financial System Study
Group" made discussions andcompiled “Interim report fromthe financial system study
group: Toward a functionbased and cross-cutting
financial regulatory system"
on June 19, 2018. The
discussion of the Group
continues. In addition, theIndustrial Structure Council'sCommerce and Distribution
Information Subcommittee"Installment Sales
Subcommittee" is examining
the way of installment sales
legislation, including crosslegal legislation.
• An order to revise a part of thelaw enforcement regulations
concerning prevention of
profit transfer by crime(Ministerial Ordinance No. 3
from Cabinet Office, Ministryof Internal Affairs andCommunications, Ministry ofJustice, Ministry of Finance,
Ministry of Health, Labor andWelfare, Ministry ofAgriculture, Forestry and
Fisheries, Ministry of
Economy, Trade and Industry,
Ministry of Land,
Infrastructure, Transport andTourism in 2018) was
promulgated and enforced on
November 30, 2018, and an
online identity verification
method using the image of theperson’s face was introduced.

Prime Minister(Minister of State
for Financial
Services);
Minister of
Economy, Tradeand Industry

Prime Minister(Minister of State
for Financial
Services,
Chairman of the
National Public
Safety Council)

Provisional Translation• A systematic response to the cases in the • "Study Group on Virtual
virtual currency exchange business such
Currency Exchange Business"
as leakage of customer’s assets from aestablished at the Financial
virtual currency exchange company, lack
Services Agency in Marchof an internal control system, and the2018 discussed the issue andappearance of new transactions in virtualcompiled "Report on Virtual
currency will be studied.
Currency Exchange Business"on December 21, 2018. Basedon this report, a draft topartially amend the laws onfund settlement was submitted
to the regular Diet in 2019 tohandle the diversification offinancial transactions
accompanying theadvancement of informationand communication
technology.

Prime Minister(Minister of State
for Financial
Services)

Promotion of• The number of banks that provide API• In February 2019,practical
and the number of banks that have
"Development situation of
application of block
contract with electronic settlement
policy on financial
chain technology
agencies will be followed up andinstitution’s cooperation andand otherregistration examination of the electronic
collaboration with electronic
innovations
settlement agencies will be carried out
settlement agencies" wasproperly. In addition, not only sharing ofcreated and released. There arecontractual and technological issues that
41 electronic settlementarise in API collaboration and sharing ofagencies registered as ofgood collaboration cases but also API
March 31, 2019. In December
collaboration between FinTech
2012, "Study Group on Opencompanies and credit card companies are
API" revised and released "thepromoted.
Code Example of API Usage
Contract Based on the
Banking Act (First Edition)"and "Telegram Specification
Standard for Open API in the
Banking Field (Second
Edition)."Development of• In order to steadily realize the• In preparation for the
infrastructure for
implementation of the Zengin EDI
operation of the Zengin EDI
collaboration
system in December 2018 and make all
System (ZEDI), the National
between financial
remittance telegrams in XML by 2020,
Bankers Association heldand commercial
the financial industry, industry, andbriefing sessions in all
channels
related ministries such as the National
prefectures and conducted
Bankers Association and the Chamber of
information dissemination
Commerce will cooperate with eachactivities for financial
other to promote activities such as
institutions and companies,
information dissemination activities andand ZEDI started operation in
sharing examples of use of the system.
December 2018.

Prime Minister(Minister of State
for Financial
Services),
Minister of
Economy, Tradeand Industry

15

Prime Minister(Minister of State
for Financial
Services),
Minister of
Economy, Tradeand Industry

Provisional Translation

Acceleration ofactivities to realize
cashless society• Preparation for start of common local tax • Start of the common local tax
payment system in October 2019 will be
payment system in Octoberconducted. In addition, the "study
2019 is prepared for. In
meeting on efficiency of taxation, public
addition, the "study meetingmoney collection, and payment” withon efficiency of taxation,members from financial institutions,public money collection, andrelevant ministries and agencies, local
payment" studied actions andgovernments, FinTech companies etc.
future activities to solve
will discuss problems of improvement
problems and published aand higher efficiency of user
survey report in March 2019.
convenience by IT in or around FY2018.

Prime Minister(Minister incharge ofInformation
Technology
Policy, Ministerof State for My
Number System,
Minister incharge ofRegulation
Reform, Ministerin charge ofInformation
Technology
Policy, National
Public Safety
Commission
Chairman),
Minister ofInternal Affairs
andCommunications,
Minister ofFinance, Ministerof Health, Laborand Welfare,
Minister of
Economy, Tradeand Industry• Based on "Cashless Vision" (formulatedby the Ministry of Economy, Trade andIndustry in April 2018), "Cashless
Promotion Council (tentative name)"with members from industry,
government, and academia involved in
cashless promotion will be immediately
established in 2018 for comprehensive
discussion on the activities to realize acashless society, including incentive
measures that both businesses andconsumers can easily accept.

Prime Minister(Minister of State
for Financial
Services),
Minister of
Economy, Tradeand Industry• Development of rules of twodimensional code (QR code, etc.) will be
examined while securing a simple andhigh-security cashless payment system
and necessary measures will be
determined in FY2018. Moreover,following-up and environment
development necessary for private
sector's efforts such as mobile payment
service using mobile phone number orbiometric technology will be studied.

16• In July 2018, the "Cashless
Promotion Council" wasestablished. Working groups
were established in the threefields of consumer
convenience improvement,
business productivity
improvement, andimprovement of systems andinfrastructure to study
standardization of QR code
settlement and development ofcredit card API guidelines.
• In January 2019, the "Cashless
Promotion Council"
formulated guidelines on CPM(bar code) with whichcustomers present their bar
codes to stores and makesettlements. Furthermore, inMarch 2019, the Cashless
Promotion Council formulated
guidelines on MPM and CPM(QR code) with which storespresent their QR codes tocustomers and makesettlements.

Prime Minister(Minister of State
for Financial
Services),
Minister of
Economy, Tradeand Industry

Provisional Translation[3] Change of “governmental administration” and “infrastructure”
1. Realization of digital government (productivity innovation fromgovernment)
1) Progress in achieving KPI targets<KPI>“Japan climbs to one of the top three developed countries in the WorldBank’s Doing Business Ranking by 2020” [47]⇒ 2019: 25th (one point drop from the previous year)

2) Progress made in implementing measures

9

MeasureContents and completion deadline

Progress and implementation status

Minister in charge

Promotion of
main projects• Leaving the traditional " top-tobottom " type online approach that
focuses on individual procedures
only, and from a thorough user’s
perspective, one-stop service of
personal administrative proceduresthat have a major impact on many
people's lives will be promoted
strongly.
• Specifically, for "moving" and"death/inheritance," people have to
do some paper work of the samecontent at different windows. Onestop service will start sequentially formoving and death/inheritance in
FY2019 and for “nursing care " inFY2018.

• For "moving" and"death/inheritance," an interim
report on an image of the service
and problems was made in
October 2018 and a concretemeasure plan to realize the onestop service was created in March
2019.
For "nursing care," anadministrative operation
guideline for the online service
was announced to local
governments in December 2018.
The environment for starting theservice was thus developed andthe service was started
sequentially from the local
government which got ready tostart.

• Attached document requirement by
various procedures will be abolishedthrough back-office collaboration. In
addition, necessary measures
including revision of the identity
verification methods such as sealing
and face-to-face procedures,
realization of online fee payment
system, development of API, etc. areincorporated in the Digital First Bill(tentative name) to be submitted to
the Diet in 2018.

• A digital procedure bill 9
including the thoroughimplementation of online
administrative procedures, theabolition of attached documents
in electronic applications, thereview of identity verification
methods, the realization of online
fee payments, the development ofAPI, etc. was submitted to theregular Diet in 2019.

Prime Minister(Minister in charge ofInformation
Technology Policy,
Minister of State for
My Number System,
National Public Safety
Commission
Chairman, Minister ofState for Financial
Services, Minister ofState for Declining
Birthrate), Minister ofInternal Affairs andCommunications,
Minister of Justice,
Minister of Finance,
Minister of Health,
Labor and Welfare,
Minister of Economy,
Trade and Industry,
Minister of Land,
Infrastructure,
Transport and Tourism
Prime Minister(Minister in charge ofInformation
Technology Policy)

Draft to partially amend the laws on the use of information communication technology in administrative procedures for the
improvement of the convenience of related parties in administrative procedures and for the simplification and higher efficiency of theadministrative management by utilizing the information communication technology

17

Provisional Translation(One-stop service for corporates)• In order to realize the world's highest
level of entrepreneurial environment,
online one-stop service forcorporation establishment will bestarted. For this purpose, thefollowing actions will be taken, thestatus of the actions will be checkedon a regular basis, and the actions
will be updated in or around 2021 totake necessary measures.

• •In order to realize the one-stop
service for procedures after
registration by January 2020,
connection specifications of thecooperation between related
systems and the Mynaportal arebeing studied. In addition, fromthe perspective of achieving
convenience for applicants, thetax reform in 2019 included
omission of electronic signature• Technical examination andetc. in case of using the
preparation were started toward the
Mynaportal to submit corporation
online one-stop service forestablishment documents andcorporation establishment procedure
reduction of attached documents
using the Mynaportal. The one-stopof Notification of corporation
service of the procedure after
establishment, etc 10. In order toregistration will start in the next
start the one-stop service for all
fiscal year and the one-stop service
procedures including certification
for all procedures includingof articles of association andcertification of articles of association
registration of incorporation inand establishment registration will
FY2020, specifications ofstart in 2020.
connection between related
systems are being discussed.
• The Ministry of Justice will take
• For online processing ofwork efficiency improvement
registration of incorporation
measures by renewing thewithin 24 hours, deregulation ofregistration information system
requirements for electronicscheduled to be implemented insignatures on attached
FY2018, with the aim of realizing the
documents, and linking of
thorough computerization of
application information andoperations aimed at online
attached document information
processing within 24 hours ofare being examined. For businessestablishment and registration ofefficiency improvement,
corporations and the world's highest
automation of reception
level appropriate prompt processing
registration, automatic creation
during the next fiscal year. In
function of registered information
addition, measures for efficiency
using application information are
improvement of examination ofunder development in renewing
registration will be concluded by
the registration information
FY2018.
system. For streamlined
examination of registration,requirements for the application
information creation support
function and the pre-confirmation
function for attached document
information were defined in the
online application system forregistration and deposition. From
now on, it is planned to startdesigning and developing thesystem.

Prime Minister(Minister in charge ofInformation
Technology Policy,
Minister of State for
My Number Card,
Minister in charge of
economic
revitalization),
Minister of Internal
Affairs andCommunications,
Minister of Justice,
Minister of Finance,
Minister of Health,
Labor and Welfare

Prime Minister(Minister in charge ofInformation
Technology Policy),
Minister of Justice

10 “Notification of Corporation Establishment, etc.” includes Notification of Corporation Establishment and Notification ofCommencement of Profit-making Business.

18

Provisional Translation• With regard to the establishment
procedure of a corporation,
certification of articles of association
by videophone etc. will be allowed in
FY2018 under certain conditions. In
FY2020, a measure to complete
simultaneous online application ofcertification of articles of associationand establishment registration within
24 hours will be implemented acrossthe country. In future, it will be
attempted to realize more effective
and efficient procedures ofcertification of articles of associationand improve convenience.

• The Ministerial Ordinance on
Processes Relating to Electronic
or Magnetic Records by
Designated Notary was revised,
which permitted under certain
conditions the use of videophones
etc. in the process of certificationof articles of associate and also
online transmission of certified
electromagnetic records toclients. This reform made it
possible to complete certificationof electronic articles ofassociation fully online at the endof FY 2018. Furthermore, system
requirements definition necessary
for realizing simultaneous
applications for certification ofarticles of association andregistration of incorporation has
been accomplished. From now
on, it is planned to start designingand developing the system.

Prime Minister(Minister in charge ofInformation
Technology Policy),
Minister of Justice

Improvement• In order to enable the implementation • Demonstrations for incorporatingof convenienceof various procedures withthe function to SIM card of aof My Number
smartphones and the use of private
smart phone Currently, based on
Systemservices utilizing public personalmarket trends and technology
identification, necessary legal
trends, technical issues of othermeasures will be taken by the regularmethods are studied to provide
Diet in FY2019. In addition, athis service to a wider range ofnecessary system will be establishedusers at low cost. Based on theand the user certification electronic
examination, necessary
certificate will be incorporated on theoperational and legal measuressmartphone as soon as possible after
for as many people as possible toa necessary system is organized. In
use their smartphones to use theaddition, installation of the function
public personal identificationof My Number Card to a smart phoneservice inexpensively will be
is examined based on the necessary
studied.
security measures.

Prime Minister(Minister in charge ofInformation
Technology Policy,
Minister of State for
My Number System),
Minister of Internal
Affairs andCommunications

19

Provisional Translation• A framework to assign the insured
person's number of medical
insurance to individuals and use My
Number Card as health insurance
card will be formally introduced in
FY2020. In order to realize that,necessary legal measures to enable
authentication that does not require
PIN (personal identification number)
entry of the electric certificate foruser certification under certain
conditions will be taken by theordinary Diet in 2019. In the processof legalization, the scope of use ofthis certification will be examined
together.

• Use of the My Number System forhighly public services such as family
registration, passport related work,overseas Japanese management, andsecurities field will be concluded
based on discussion results.
Necessary legal measures will be
submitted to the regular Diet in 2019
on the basis of the conclusions whileobtaining the understanding of the
public about the measures.

• In order to incorporate electronic
certificate for user certification tosmartphones, an amendment of
the Health Insurance Law 11
including introduction of online
qualification check and an
amendment of the PublicAuthentication Act 12 enablingauthentication with norequirement on PIN (personal
identification number) entry of
the electric certificate for user
certification were submitted to
the regular Diet in 2019. In
addition, based on the discussions
at the Digital Government
Ministerial Meeting (held on
February 15, 2019), theconcerned ministries are underconsideration to organize
measures to promote the use of
My Number Card and measures
to promote the use of My
Number.
• The following three law drafts
were submitted to the regular
Diet in 2019: (1) Digitalprocedure act which enables theuse of My Number for issuing ofa sufferer’s certificate and for
office work related to new
influenza vaccination, (2) draft topartially amend the Family
Registration Law where family
registration information can be
included in the information
linking target and electronic
certificate of family registration
information can be issued, (3)draft to partially amend theIncome Tax Law, etc. where thesecurities depository agency canuse My Number to search
information of registered persons
and provide the My Number of aregistered person to respond to an
inquiry from a person who has tosubmit a payment record. A law
draft to partially amend theIncome Tax Law was establishedon March 27, 2019.

Prime Minister(Minister in charge ofInformation
Technology Policy,
Minister of State for
My Number System),
Minister of Internal
Affairs andCommunications,
Minister of Finance,
Minister of Health,
Labor and Welfare

Prime Minister(Minister in charge ofInformation
Technology Policy,
Minister of State forFinancial Services,
Minister of State for
My Number System,
Minister of State forDisaster Prevention),
Minister of Internal
Affairs andCommunications,
Minister of Justice,
Minister of Foreign
Affairs, Minister ofFinance

11 Draft to partially amend the Health Insurance Act for appropriate and efficient management of the medical insurance system
12 Draft to partially amend the laws on the use of information communication technology in administrative procedures for the

improvement of the convenience of related parties in administrative procedures and for the simplification and higher efficiency of theadministrative management by utilizing the information communication technology

20

Provisional Translation

Release of• Public requests discussed in the Open • Based on the discussions in the
open data from
Data Public-Private Round Table
Open Data Public-Private Roundpublic(requests on restaurants, foreign
Table, the ministries in charge
agencies
visitors (entry/exit, duty-freewill examine the format of data to
shopping, etc.), public transportation,
be released, disclosure level, andtraffic accidents (traffic accident
disclosure method, etc.
statistics, school route, etc.), crime
occurrence status, geology, disaster
information (hazard map, evacuation
site, etc.)) will be made open
according to the Basic Plan for the
Advancement of Public and Private
Sector Data Utilization.

Prime Minister(Minister in charge ofInformation
Technology Policy,
Minister of State forDisaster Prevention,
National Public Safety
Commission
Chairman), Minister ofInternal Affairs andCommunications,
Minister of Justice,
Minister of Finance,
Minister of Education,
Culture, Sports,
Science andTechnology, Ministerof Health, Labor andWelfare, Minister of
Economy, Trade andIndustry, Minister ofLand, Infrastructure,
Transport and Tourism

Developmentof system andenvironment
for digital
government
promotion

Prime Minister(Minister in charge ofInformation
Technology Policy),
Minister of Finance• To maximize the investment
effectiveness of the information
system related budges from theministries, activities to promote
integrated management of a project
are started, from those which can bestarted even under the current
system, in each stage from budgetary
request to budget implementation. In
addition, development of a system torealize effective examination
function is examined from a crosscutting viewpoint of ministries. The
system will start as trial in FY2020.

• For the trial of theimplementation of the system in
FY2020, detailed discussion
began in a ministries meeting forbudget and procurement of an
information system in thegovernment

21

Provisional Translation

2. Advanced infrastructure management for next-generation
infrastructure, maintenance, and system development
1) Progress in achieving KPI targets<KPI>“Tokyo will be ranked among the top three cities in the Power City Index
by 2020” [57]
⇒ 2018: 3rd

2) Progress made in implementing measures
MeasureContents and completion deadline

Progress and implementation status

Minister in charge

Improvement of
productivity ofdevelopment andmaintenance ofinfrastructure• In order to deepen i-Construction for
promotion of the full utilization of
ICT in a construction process, thetarget will be expanded to allprocesses in the construction sector
including construction of bridges,
tunnels, dams, as well as
maintenance and management, by
2019. In order to expand applications
to small and medium-sizedcompanies and local governments in
FY2018, a system for orderers to
support order acceptors will beenhanced by providing the orderacceptors with 3D construction data.
• Development of an infrastructure
data platform that converts
management ledger of infrastructure,
construction record, inspection data,
sensor data, basic map information,
ground information into sharedintermediate data for data integrationand data sharing will be started in
FY2018 and used for asset
management such as deterioration
prediction and life cycle cost analysis
and for advanced construction
management.

• Use of ICT was expanded to
ground improvement, ancillary
structure, excavation, etc. to be
implemented in connection withearthwork. A total of 2,099 ICTearthworks were implemented (asof the end of February, 2019).

Minister of Land,
Infrastructure,
Transport andTourism• With an aim to perform a trial of
construction and analysis by
2019, a trial of data linking
between databases and trial
creation of an analysis model
were performed.

Minister of Land,
Infrastructure,
Transport andTourism

Solving of local• For local public transportation andsocial problems inlogistics, a new mobility service
transportation andmodel will be built to meet the needs
logistics andof users in cities and rural areas bystrengthen
implementing the following
competitiveness ofmeasures: Improvement of
citiesinformation provision and route
search by using open data, ICT suchas vehicle allocation and settlementwith smartphone application,utilization of new technology such as
automatic driving, introduction ofwatching service and shopping
support, taxi for both freight andpassengers in depopulated areas, andpolicy combination with various
industrial sectors such as realizationof MaaS.

• For the development of the newmobility service model,
realization of the new mobility
service, mostly MaaS, wasdiscussed in the Round-Table
Conference on New Mobility
Service in City and Rural Area
and an interim report was
published in March 2019. In
addition, a support system tosupport demonstration
experiments for the developmentof a new mobility service model
was established.

Minister of Land,
Infrastructure,
Transport andTourism

22

Provisional Translation

3. Acceleration of introduction of PPP/PFI method
1) Progress in achieving KPI targets<KPI>“Expand the PPP/PFI business scale to 21 trillion yen over the next ten
years (from FY2013 to FY2022). Out of which, 7 trillion yen will comefrom PFI business that utilize the concession-method.” [61]⇒ The scale of business in FY2013-FY2017• PPP/PFI projects: approx. 13.8 trillion yen• PFI business using the concession-method .: approx. 5.7 trillion yen

2) Progress made in implementing measures
MeasureContents and completion deadline

Strengthening of
measures inconcession-stylepriority projects• In order to make the forestry a
growing industry, a necessary act
draft on national forest will be
submitted to the regular Diet in2019 for private enterprises to gain
the right to use, and earn a profit
from, a certain area of the national
forest which is an administrative
property by cutting and selling alarge amount of trees for a long
period of time, while maintaining
the public function of the national
forest.

Promotion of hespread of Pay for
Success

Progress and implementation status

Minister in charge• A draft to partially amend thelaws on management of national
forest was submitted to theregular Diet in 2019 so that theright to cut trees in a certain areaof national forest on a long-term,
stable basis, while maintaining
the public function of the national
forest, could be set for a
motivated and capable forestry
business owner under a conditionof cooperation with the
midstream and downstream
business operators who expand
timber demand.
• The relevant ministries and agencies • As for the measures concerning
will promptly arrange the measuresequal footing of the government
concerning the equal footing of thesubsidy and the local allocation
government subsidy and the local
tax for the airports, coordination
allocation tax, which have become
was made with the relevant
apparent in the public facilities
ministries and agencies and local
operation project at seven airports
public organizations werein Hokkaido Prefecture, and notify
notified of the measures.
local public organization of themeasures.

Prime Minister(Minister of Statefor the Promotionof Overcoming
Population Decline
and Vitalizing
Local Economy inJapan), Minister ofAgriculture,
Forestry and
Fisheries• In order to promote the use and• A request for the result-linked
spread of the result-linked private
private consignment contract
consignment contract system, which
system among the requests on
is a mechanism to realize social
system and human resources inproblem resolution and enhance
FY2019 was approved. A
administrative efficiency bynecessary system will beutilizing the know-how of thedeveloped for this purpose
private sector while suppressing thethrough coordination with related
administrative cost, the Cabinet
ministries and agencies.
Office will expand the recruitmentof human resources from related
ministries and agencies and develop
a necessary system while utilizing
human resources from the ministries
related to the system.

Prime Minister(Minister of State
for Measures for
Declining
Birthrate), Ministerof Internal Affairs
andCommunications,
Minister ofFinance, Ministerof Health, Laborand Welfare,
Minister of
Economy, Tradeand Industry

23

Minister of Land,
Infrastructure,
Transport andTourismProvisional Translation[4] Change of “district,” “community,” and “small and medium-sizedcompanies”
1. Reform of entire agriculture, forestry, and fisheries and realization ofsmart agriculture, forestry, and fisheries
1) Progress in achieving KPI targets
<KPI>

<KPI>

<KPI>

<KPI>

Almost all farmers will perform data-based agriculture by 2025.[68]* Progress will be checked on the basis of a census on the agriculture, forestry, andfishery with enlarged survey items.
Increase the ratio of farmland used by business farmers to 80% in thenext 10 years by 2023 (End of FY2013: 48.7%) [63]⇒ End of FY2018: 56.2%
Reduce the cost of rice production by business farmers by 40% in thenext ten years (by 2023) compared with the national average in 2011 byreflecting the efforts of the industry in materials, distribution and otherareas. (Price of rice produced in 2011: 16,001 yen / 60 kg) [64]⇒ National average cost of rice production in 2017
• Management by individual farms 13: 10,995 yen/60kg (31% decrease)• Management by incorporated organizations 14: 11,859 yen/60kg (26% reduction)
Increase the export value of agricultural, forestry and fishery products
and foods to one trillion JPY by 2019 (2012: 449.7 billion yen) [70]
⇒ 2018: 906.8 billion yen

2) Progress made in implementing measures
MeasureContents and completion deadline

Progress and implementation status

Minister inchargeAcceleration ofagriculture
reforms• In order to accelerate accumulationand concentration of farmland tobearers, measures will be takensuch as establishing a promotion
system centered on the Farmland
Intermediary Management
Organization and simplifying theprocedures at the Organization, on
the basis of verification of past
activities.

• Past activities of the Farmland
Intermediary Management Organization
were verified and evaluated by the
Headquarters on Creation of Regional
Vitality in Agriculture, Forestry, andFisheries in November 2018. Based on theevaluation, a draft to partially amend thelaws related to the promotion of the
farmland intermediary managementbusiness which accumulate andconcentrate farmland to bearers was
submitted to the regular Diet in 2019. This
draft aims to simplify procedures byintroducing a system where the right ofborrowing and subleasing farmland by theOrganization can be set in an integrated
manner in the municipality’s plan and toprovide information on the use situation of
the farmland, etc., by members of theCommittee for Agriculture and theCommittee for Farmland Utilization
Optimization Promotion in various
opportunities of discussion.

Minister ofAgriculture,
Forestry and
Fisheries

13 Among certified farmers, individual farming management body (with rice paddy acreage of more than 15ha), whose farming income

from rice paddy cultivation per one farmer is equivalent to that from other industry.
14 Organized farming management body (with rice paddy acreage of 22ha on average) whose sales income from rice paddy cultivation islargest compared to that from other types of farming24

Provisional Translation• "Base of agriculture datacooperation," a base of utilizationof agriculture data will be formallyoperated from April 2019.

• In order to develop the agricultural datacooperation base, a demonstration
research (a project for utilization at wheat
production sites, etc.) on agricultural ICT
services using cooperation, sharing, andprovision functions under the support fromfarmers in the field was carried out. In
addition, various entities were encouraged
to participate in the agricultural datacooperation base council. (The number ofmembers: 195 on June 30, 2018 increased
to 342 on March 31, 2019). The base will
formally start in April 2019.

Reform offorestry industry• Forest management will beconcentrated and integrated tomotivated and capable business
operators. Moreover, a new forest
management system wheremunicipalities manage forests thatcannot be managed by the business
operators will be established.

• The Forest Management Act (Act No. 35
in 2018) establishing the new forest
management system was enacted in theregular Diet in 2018 and will be enforced
from April 2019. To this end, relevant
ministerial ordinances were issued and111 briefing sessions were held formunicipalities.

Minister ofAgriculture,
Forestry and
Fisheries;

Reform offishery industry• In order to maintain, restore andproperly manage fishery resources,scientific and effective evaluation
methods and management methods
that are comparable from theinternational perspective will be
employed.
• The fishery permission system
together with the resource
management method will berevised to improve the productivity
of offshore and deep-sea fisheries
and strengthen international
competitiveness.
• For the development of aquaculture
and coastal fishery, the system
related to the use of sea surface,etc., will be reviewed andappropriate and effective use ofwater areas and new entry will bepromoted.

• Revised Act on the Fisheries Act etc. 15
was enacted in the special Diet in 2018. In
the revised act, the system was redesigned
to a resource management system on thebasis of the available catch (TAC)
determined according to the resource
management target, which is set fromstock assessment by the latest scientificknowledge, with an aim to increase thecatch amount. Moreover, the fisherypermission system was revised so that norestriction related to fishing boat size
would be applied to fishing-boat fisheries
where catch quota (IQ) had been
introduced, in order to reduce production
costs and improve safety, residency, andworkability. In addition, the sea surface
use system was revised for comprehensive
use of the sea surface of the unused
fishery ground by allowing collaborative
fishery and new entry from the inside andoutside the area, while securing fishingground use of the existing fishery rightholders who were using fishing groundappropriately and effectively.

Minister ofAgriculture,
Forestry and
Fisheries;

15 Act to partially amend the Fishery Act, etc. (Act No. 95 of 2018)25

Provisional Translation

2. Realization of smart city by cooperation between city development anduse of public transportation and ICT1) Progress in achieving KPI targets
<KPI>

<KPI>

“Aim to create IoT-based activities of 8000 local public bodies in thefields related to people’s everyday life by the end of FY2020.” [73]
⇒ 272 groups (March 31, 2018)“Aim to introduce L-alert advanced system or G-space disasterprevention information system to 15 prefectures and 100 local publicbodies to strengthen the regional disaster prevention capability by theend of FY2020.” [72]⇒ G-space disaster prevention data system: 72 groups (March 31, 2018)2) Progress made in implementing measures
MeasureContents and completion deadline

Progress and implementation status

Minister in charge

Development ofsafe and secure cityusing IoT

• L-alert advanced system or Gspace disaster prevention
information system forstrengthening the regional disasterprevention capability will be
introduced to 15 prefectures and
100 local public bodies by 2020
through demonstrations fordevelopment of the standard
specification draft of L-alert
advanced system and throughenlightenment activities to spreadthe systems.

• It is planned to formulate andspread standard specifications tobe added to the prefectural
disaster prevention information
system necessary for mapping of
L-alert information through thedemonstration experiment in
FY2018. In FY2018, 43 local
public bodies introduced the Gspace disaster prevention
information system through theregional IoT implementation
promotion project.

Minister of Internal
Affairs andCommunications

New town
development
through
improvement ofactivity of local
community• For local public bodies aiming tosolve regional issues, regional IoT
implementation planning andimplementation projects will besupported and development ofdata using type city will bepromoted through cross-sectoral
data linking. As a result, IoT-used
activities of 800 local publicbodies in the fields related tohealth promotion and education
will be created by the end of
FY2020.

• The "Regional IoT
Minister of Internal
Implementation Status Survey"
Affairs and(FY2018) by Ministry of Internal Communications
Affairs and Communications
showed that 272 organizations
have already taken actions.
Introduction of regional IoT bylocal public bodies will bepromoted continuously bycomprehensive implementation ofplanning support, personal
support by dispatching regional
informatization advisors,clarification of data use rules, andsupport for implementation
projects, etc.

26

Provisional Translation

3. Further strengthen the productivity revolution of SMEs and microbusinesses
1) Progress in achieving KPI targets
<KPI>

<KPI>

<KPI>

Aim for 2.0% growth in the labor productivity of service industry by 2020[74]
⇒ 2017: 0.18%
Increase profiting SMEs and micro businesses from 700,000 firms to 1.4
million firms [76]⇒ FY2016: 954,546 companies
Aim to achieve start-up rates exceeding cut-off rates and make themcomparable to US / UK level (10% range) [77]
⇒ FY2017: rate of establishment: 5.6% and rate of exit: 3.5%

2) Progress made in implementing measures
MeasureEncourage
investment in
cutting-edge
equipment suchas IT to SMEs
and micro
busisnesses/
Empowering
efforts toimproveproductivity ineach industry

Contents and completion deadline

Progress and implementation status

Minister in charge• The government will promote the• The Act on Special Measures for Minister ofmeasure to reduce property taxes under
Productivity Improvement was
Economy, Tradethe Act on Special Measures forenacted on June 6, 2018. As ofand Industry
Productivity Improvement establishedthe end of February 2019, 1,606
in May this year, while taking into
local governments haveconsideration the autonomy of local
implemented measures to set zero
governments, and allow SMEs andfixed property tax according tomicro businesses actively engaging tothis act. In addition, as of the end
this measure to exert synergistic effectof December 2018, 17,868 plans
with support measures such asof introducing advanced“Subsidy for Manufacturing andequipment were approved in theService of SMEs”.
local governments that
implemented measures to makethe fixed property tax zero. The
total quantity of equipment
included in the plans is 47,865
units and the investment ofapproximately 507.6 billion yen
is expected.
Furthermore, 11,989 people wereadopted in "Subsidy for
Manufacturing and Service ofSMEs " (revised budget project in
FY2017).

27

Provisional Translation

Increasebusinessmetabolism withsmooth businesssuccession andentrepreneurshipsupport• In order to strongly support the
introduction of IT necessary for
improving productivity, thegovernment will strengthen the IT
support system in cooperation withmanagement improvement of SMEs
through improving IT literacy
including cyber security in familiar
support organizations, utilizing the“Productivity Strategy Platform for
SME Services and Other Businesses”
established in February this year andcertified information processing
support organization.

• About 62,000 cases were
supported by "IT Introduction
Subsidy" (revised budget projectin FY2017). In addition, 269
certified information processing
support organizations supporting
IT utilization were certified (as ofMarch 31, 2019) to visualize IT
vendors and IT tools.

Minister of Internal
Affairs andCommunications,
Minister ofFinance, Ministerof Health, Laborand Welfare,
Minister ofAgriculture,
Forestry and
Fisheries, Ministerof Economy, Tradeand Industry,
Minister of Land,
Infrastructure,
Transport andTourism, Ministerof the Environment• To improve productivity throughsmooth business succession of SMEs
and micro businesses, the government
will strengthen our efforts as intensive
implementation period in the next 10
years. In addition to the drastically
expanded business succession tax
system, the government will
implement seamless support before
and after succession, including
strengthening M&A support. The
government will promotecomprehensive support for budget andtax related to the succession of small
and micro businesses, and cooperatewith large and medium-sizedcompanies.

• The corporate businesssuccession tax system wasdrastically expanded from 2018.
In FY2018, there were 2,930
applications (counted as of April
30, 2019).
In addition, in order to support
intensive business succession ofindividual business owners, a
100% tax payment postponement
system of grant tax andinheritance tax at the time ofsucceeding land, buildings,
machinery and equipment was
introduced as a 10-year time limit
measure in the tax systemrevision in FY2019.

Minister ofFinance, Ministerof Economy, Tradeand Industry,28

Provisional Translation

Increasing
support for SME
associations• The government will urge financial
institutions to properly demonstrate
financial intermediation functions
through the following measures inorder to fully support management forbusiness value evaluation andproductivity improvement without
excessively relying on collateral or
personal guarantee– - In order to promote the financial
advice and provision of financial
advice by financial institutions that
contribute to the value of clientcompanies, the government will
establish the drafts of the Key
Performance Indicator (KPI) by
which financial institution's
intermediation efforts can beobjectively evaluated, including theutilization of “Guidelines for
Personal Guarantee Provided byBusiness Owners” (5 December,2013 decided at the Study Council
on State of Personal Guarantees for
Loans and Other Issues), which canalso be utilized for businesssuccession. This will allow for the"visualization" of financial
institutions.

29• The financial institutions were
notified in September of the lastyear to examine, on the basis of
the common benchmark, a set ofindicators (KPIs) that canobjectively evaluate the financial
intermediaries of each financial
institution such as institution’s
usage of " Guidelines for
Personal Guarantee Provided byBusiness Owners " including
business succession, while paying
attention to the difference in thedefinition of the indicators among
the institutions. Details will be
examined from viewpoints of
securing objectivity andcomparability by using the samedefinitions as well as respecting
and promoting the characteristicand distinctive activities of eachfinancial institution.

Prime Minister(Minister of State
for Financial
Services), Ministerof Finance,
Minister of
Economy, Tradeand Industry

Provisional Translation

4. Tourism, sports, culture, and art
1) Progress in achieving KPI targets
<KPI>

<KPI>

We aim to increase the number of international visitors to Japan to 40
million in 2020 and 60 million in 2030. [80]
⇒ FY2018: 31.19 million
We aim to increase the amount of consumption by international visitors
to Japan to 8 trillion yen in 2020 and 15 trillion yen in 2030. [81]⇒ FY2018: 4,518.9 billion

2) Progress made in implementing measures
MeasureTourismContents and completion deadline

Progress and implementation status

Minister in charge• Utilization of financial resources
for the realization of the next
generation tourism-oriented
country.
Based on the “Basic Policy etc.
for the Use of the International
Tourist Tax” (adopted by the
Ministerial Conference on
Promotion of Tourism-oriented
Country on December 22, 2017),
the revenue of the International
Tourist Tax is used to expand andstrengthen the tourism
infrastructure for realization ofworld-class tourism destination.

• Based on the International
Tourism Promotion Act 16
partially amended in the regular
Diet in 2018 and the “Basic
Policy etc. for the Use of theInternational Tourist Tax”
(adopted by the Ministerial
Conference on Promotion of
Tourism-oriented Country on
December 22, 2017 and partiallyamended on December 21, 2018),
the International Tourist Tax wasused for the development of CIQ
system, etc. in the budget for
FY2018 and will be used forparticularly new and urgent
measures and projects, such asadvanced immigration procedure,development of world-classenvironment to receive foreign
visitors, and expansion of new
tourism contents utilizing local
resources in the budget for
FY2019.

Minister of Finance,
Minister of Land,
Infrastructure, Transport
and Tourism

16 Act on promotion of international tourism by promoting visits of foreign tourists

30(Act No. 91 in 1997)

Provisional Translation

Explore thefuture of sports
industry• The relevant ministries and• According to issues andagencies will collaborate forindividual needs in each region,
support for stadiums and arenas
various supports were conductedon the basis of individual needs
such as installation ofby sharing every type of issues,
consultation counters for
installing integrated consultation
promotion of the reform ofcounters for national support, andstadiums and arenas in June 2018
examining methods to secureand support for the formation of
personnel responsible foradvanced examples (15 cases byformation of local consensus. In
the end of March 2019).
The “Stadium/Arena Operation
addition, ways to reflect the needs
and Management Plan Review
of private business owners who
Guideline” was compiled in July
have contents other than sports
2018, which organized theand ways to verify the effects ofmethods and points to consider
stadiums, etc. in local areas will
for maximizing the businessbe examined.
effects of the stadiums and arenas
from a viewpoint of operators,
managers, and content holders.

Economic• Opportunities for people from
revitalization
cultural fields and people fromutilizing cultureindustry to interact on a broad
and art resources
range of issues and theirsolutions, starting from the ideaof culture, will be provided.
Creation of high value-added
markets, innovation in thebusiness using cultural art
resources and related
technologies, and overseas
development of culture-related
services and contents including
performing arts will be promoted.
Theaters and music halls will be
encouraged to increase theirincome. In addition, theirfunctions will be strengthened
and appreciation environments
will be improved. Through these
efforts, a national brand strategy
utilizing the Japanese culture will
be made and the cultural GDP
will be expanded.

• Based on "Culture Economic
Strategy" (created by Cabinet
Secretariat and Agency for
Cultural Affairs on December 27,2017), "Culture Economic
Strategy Action Plan" including
the major measures to promote
this strategy was compiled inAugust 2018. In future, it will be
discussed to provide
opportunities for people from
cultural fields and people fromindustry to interact.

31

Prime Minister(Minister in charge ofOvercoming Population
Decline and Vitalizing
Local Economy inJapan, Minister of State
for Regional
Revitalization), Ministerof Education, Culture,
Sports, Science andTechnology, Minister of
Economy, Trade andIndustry, and Ministerof Land, Infrastructure,
Transport and Tourism.

Prime Minister (Chief
Cabinet Secretary,
Minister in charge ofTokyo Olympic Gamesand Tokyo Paralympic
Games, Minister incharge of Overcoming
Population Decline andVitalizing Local
Economy in Japan,
Minister of State for
Cool Japan Strategy,
Minister of State forIntellectual Property
Strategy, Minister ofState for Regional
Revitalization), Ministerof Internal Affairs andCommunications,
Minister of Justice,
Minister of Foreign
Affairs, Minister of
Education, Culture,
Sports, Science andTechnology, Minister of
Health, Labour andWelfare, Minister ofAgriculture, Forestry
and Fisheries, Ministerof Economy, Trade andIndustry, and Ministerof Land, Infrastructure,
Transport and Tourism,
Minister of theEnvironment

Provisional Translation

ii. Development of base for economic structure reform[1] Development of common infrastructure for data-driven society
1. Promotion of investment to basic systems and technologies
1) Progress in achieving KPI targets<KPI>

Register more than 30,000 information security specialists by 2020. [93]⇒ Oct. 1, 2018: 17,360 specialists

2) Progress made in implementing measures
MeasureContents and completion deadline

Progress and implementation status

Minister in charge

Construction ofdata linkage
utilization base

• A system of an industrial datautilization business authorization
system will be developed on thebasis of the Act on Special Measuresfor Productivity Improvement
established in May 2018. Sharing
and linking industrial data including
map data, material data, and security
data in the coordinated areas will be
expanded and support for the
implementation will be strengthened,particularly in the major sectors ofConnected Industries such as"automatic traveling and mobility
services," "manufacturing androbotics," and "bio and materials."• The industrial data utilization
business authorization system in
the Act on Special Measures for
Productivity Improvement wasstarted in June 2018. 49 projects
were approved for the Promotionof Innovative Use of Data for
Industrial Activities. (as of March
31, 2018)
For sharing of data and expansionof collaboration case examples,
25 projects of sharing data among
multiple business owners in the
major sectors of Connected
Industries and 25 projects ofdeveloping AI systems by thecollaboration among large
companies and venturecompanies were supported as the
supplementary budget projects in
FY2017.
• Authorization by Japan
Federation of IT Associations
started in December 2018. In
addition, a guidance manual willbe created to help those who
operate businesses that utilize theinformation trust function.

Minister of Internal
Affairs andCommunications,
Minister of
Economy, Trade andIndustry• Based on instruction from anindividual or a condition designatedbeforehand, operation of an arbitrarycertification scheme of an
information trust function to offer
personal data to a third party after
judging appropriateness on behalf ofthe said individual will be started byprivate party groups in FY2018 andnecessary guidelines will becompiled through demonstration
projects.

32

Minister of Internal
Affairs andCommunications,
Minister of
Economy, Trade andIndustry

Provisional Translation

Cybersecurity• In the “next cybersecurity strategy”
formulated in the summer of 2018,
basic policies and promotion systems
of cybersecurity measures will beclarified by using a fundamental ideaof “cybersecurity for sustainable
development” that promotes efforts
from three viewpoints of “mission
assurance”, “risk management,” and“participation, collaboration, andcooperation.”• Then, based on the "nextcybersecurity strategy", thegovernment will make a concerted
effort to establish an information
sharing system, train and secure
human resources, disseminate
information to the people, anddevelop a system for the 2020 Tokyo
Olympics and Paralympic Games.

• The Cabinet approved the new“cybersecurity strategy” on July27, 2018. An annual plan basedon this was formulated andvarious measures were
implemented.
In particular, for construction of
an information sharing systembeyond the conventionalframework, a council was
launched and a law was adopted
on December 5, 2018 to partiallyamend the Cyber Security Basic
Law (Act No. 90 of 2018),
including the application of theconfidentiality obligation ofmembers of the council. A
Cabinet order to partially amend
the ordinance of the Cyber
Security Strategy Headquarters
which determined corporations
that can be commissioned towork on liaison and coordination
with related parties was approvedby the Cabinet on March 8, 2019.
In addition, efforts were made tolaunch the council. Furthermore,
for development and securing of
human resources, the “Cyber
Security Human Resource
Development Policy” (reportedby the Cyber Security Strategy
Headquarters on June 7, 2018)
was issued and reflected to the“Cyber Security Strategy.” For
information transmission topeople, the "Cyber security
awareness and action
reinforcement program"including improvement of
information transmission andconsultation counters wasapproved on January 24, 2019.
Moreover, for the 2020 Tokyo
Olympics and Paralympic Games,
efforts to introduce a
Cybersecurity Countermeasures
Coordination Center responsiblefor information sharing andsupport coordination when an
incident occurs were made.

33

Prime Minister(Minister in chargeof Information
Technology Policy,
Minister in charge ofCyber Security
Strategic
Headquarters,
National Public
Safety Commission
Chairman), Ministerof Internal Affairs
andCommunications,
Minister of Foreign
Affairs, Minister of
Economy, Trade andIndustry, andMinister of Defense

Provisional Translation

Responding to
new technology
and business• Necessary technical standards will be • A technical standard for 5G was
Minister of Internal
established by the summer of 2018.
established in July, 2018. In
Affairs andFrequency allocation will be carriedJanuary 2019, the "Guideline on
Communications
out by March 31, 2019 to promoteestablishing a specific baserapid spread of 5G to rural areas. In
station for the introduction of 5G"
addition, development of an opticalincluding examination criteria
fiber network, etc. which supports
such as starting services in alladvanced wireless environments suchprefectures within two years was
as 5G and IoT will be examined andestablished. Applications
a conclusion will be obtained by thesubmitted from companies
summer of 2018.
according to the guideline will be
examined and frequency
allocation will be conducted in
April 2019.
• The Ministry of Internal Affairs
and Communications released"Final report of study meeting on
ICT infrastructure regional
development strategy " in August
2018. Based on the results of thestudy, "Advanced wirelessenvironment maintenancepromotion project" will start in
FY2019 to develop an opticalfiber network that supports
advanced wireless environments
such as 5G and IoT.

34

Provisional Translation

2. Development and optimal utilization of human resources suitable to AI
age
2-1. Development and optimal utilization of human resources required for
AI age1) Progress in achieving KPI targets
<KPI>

<KPI>

<KPI>

<KPI>

<KPI>

<KPI>

“The number of Brush-up Program for Professionals (BP) associatedwith AI will be doubled by the end of FY2023.” [106]⇒ As of April 2019: 10 courses (This target is already achieved since there will be 14
courses in October 2019.)“Every ordinary classroom will have a wireless LAN system by FY2020.”[99]⇒ 2017: 38.3%“Educational computers will be distributed to students in one out of
three classes by FY2020.” [100]⇒ FY2017: one per 5.6 students“Aim to increase the number of examinees of new IT passport test to ahalf million by FY2023.” [96]⇒ Development of new tests (starting in FY2019)“Aim to establish 100 classes certified as skill learning class in forthindustrial revolution by FY2020.” [105]⇒ April 2019: 54 classes“Aim to increase the number of working adults who attend university or
professional school to a million by FY2022.” [107]⇒ In 2016: About a half million

2) Progress made in implementing measures
MeasureContents and completion deadline

Progress and implementation status

Minister in charge

Expansion ofprovision of AI
human resources
fromuniversities, etc.

• Engineering education will bereformed in the following aspects: The
vertical sectioning of departments andmajors in the engineering field AI will
be reviewed and the standards forestablishment of universities with acurriculum (major and minor systems)
combining the engineering majors withother multiple major fields will berevised and introduced in the next
fiscal year. In addition, a model corecurriculum that conducts information
education in basic engineering
education will be established.

• In order to promote the review ofvertical sectioning of departments
and majors in the engineering
field, a ministerial ordinance(Ordinance No. 22, Ministry of
Education, Culture, Sports,
Science and Technology in 2018)
to partially amend the standardsof establishment of universities
and the standards ofestablishment of graduate schools
was promulgated and enforced onJune 29, 2018. In addition, in
support projects of Ministry of
Education, Culture, Sports,
Science and Technology to
conduct demonstrative
verification for the engineering
education reform, four
universities developed a model
core curriculum of basic
engineering education.

Minister of
Education, Culture,
Sports, Scienceand Technology;

35

Provisional Translation

Strengthening ofAI education at
primary andjunior highschools

Expansion of thebase of AI
human resources
utilizingrecurrent
education atuniversities etc.

• In order to effectively carry out• Instruction methods were
programming education in all
disseminated by presenting
elementary schools from FY2020, theinstruction examples through thequality of teaching materials“Introduction to Programming
development and teacher training will
Education for Elementary
be improved through the activities of
Schools” and a portal site run by
the Consortium for Future Learning by
the Consortium for Future
utilizing portal sites etc. in
Learning, and teaching materials
collaboration with the Boards offor teacher training were created.
Education, schools, and companies
over the country so that teachers canbecome familiar with teachingmaterials, teaching methods, etc.
• In order to develop a necessary ICT• Promotion activities to governors
environment such as wireless LAN andand mayors over the country wereeducational computers by the end of
conducted in cooperation withFY2020, local governments will
"National Governor Council for
accelerate the development by
ICT Education" and thenotifying not only the Boards ofgovernors and mayors were urged
Education but also governors andto understand the situation
mayors of the functions and efficientthrough the General Education
procurement methods of ICT
Meeting where a governor or
equipment based on the maintenancemayor could make discussion
policy of ICT equipment released atwith the Board of Education in
the end of 2017 and of theeach local government.
development status clarified in eachcity and town.

Minister of Internal
Affairs andCommunications,
Minister of
Education, Culture,
Sports, Scienceand Technology,
Minister of
Economy, Tradeand Industry• Recurrent education such as short-term
education programs for adults atuniversities and specialized training
colleges, The Open University ofJapan, and online courses using
MOOCs will be widely expanded. A
system of recurrent education atuniversities, etc. including
establishment of recurrent centers,
securing practical educators who havehigh educational ability and highquality, and establishing collaboration
between professional graduate schools
and industry will be developed.

Minister of
Education, Culture,
Sports, Scienceand Technology

36• Short-term programs for adults inuniversities and specialized
training colleges were
institutionalized to start in
FY2019. Practical programs at
University of the Air areenhanced. Furthermore, projects
to develop opportunities for joint
education between industry andacademia and to provide
programs are conducted forrecurrent education and trainingof teachers with a career in theirsubject area. (Enforced on April
1, 2019.)
In addition, from a viewpoint ofstrengthening collaboration
between professional graduate
schools and industry, a system torevise the School Education Law
and organize and implement acurriculum in collaboration withbusiness people of the target
occupations of the schools wascreated.

Minister of
Education, Culture,
Sports, Scienceand Technology

Provisional Translation• Target of the benefits for practicalprofessional education and training
will not only include the courses ofprofessional colleges but also be
expanded for trainees to acquire skills
required in the AI era, in collaboration
with the “Brush up Program forProfessional” of universities,“Professional Post-secondary Course”
of specialized training colleges, and“Program for Certifying Courses on
IT-Skill Training to Meet the Era of
the Fourth Industrial Revolution” in
the AI and IT field.

37• Courses of professional colleges
were designated as target of thebenefits for practical professional
education and training. In
addition, target courses wereexpanded to include the Brush up
Program for Professional ofuniversities (18 courses newly
designated), Professional Postsecondary Course of specialized
training colleges (120 courses
newly designated), and Programfor Certifying Courses on IT-Skill
Training to Meet the Era of the
Fourth Industrial Revolution (30courses newly designated) after
October 2018.

Minister of
Education, Culture,
Sports, Scienceand Technology,
Minister of Health,
Labor and Welfare,
Minister of
Economy, Tradeand Industry

Provisional Translation

2-2. Labor market reform for utilization of optimal human resources
1) Progress in achieving KPI targets
<KPI>
<KPI>

<KPI>

<KPI>

<KPI>

“2020: The ratio of hired persons who changed jobs will be 9.0%”[120]⇒ 2017: 8.6%
“2020: The ratio of female in officers of listed enterprises will be 10%.”[109]⇒ 2018: 4.1%
“2020: The ratio of female in division directors of private companies willbe 15%.” [110]⇒ 2018: 11.2%“2020: The ratio of mothers who continued working after first childbirthwill be 55%.”[112]⇒ 2015: 53.1%“2020: The number of companies which introduce telework will
increased to three times the number in FY2012.” [123]⇒ 2018: 19.1%

2) Progress made in implementing measures
MeasureContents and completion deadline

Progress and implementation status

Minister in charge

Promotion ofdiversity• "Revision after 3 years of• An amendment of the Act on
enforcement" for the Act on
Promotion of Women’s
Promotion of Women’s Participation
Participation and Advancement inand Advancement in the Workplace 17
the Workplace was submitted to(Act No. 64 in 2015) will start based
the regular Diet in FY2019,
on the additional clauses and awhich included expansion of
conclusion will be obtained inbusiness owners obligated to
FY2018. In the revision, setting
make action plans andnumerical targets, expansion of
information disclosure,
information release, andstrengthening information
enhancement of incentives todisclosure, and creation of acompanies depending on their
special certification system foractions taken will be studied forbusiness owners particularly good
promotion of women to managerial
at promoting women's
positions, introduction of diverse andachievements.
flexible working styles, balance
between work and family life, andsupport for career formation, etc.

Prime Minister(Minister of State for
Gender Equality),
Minister of Health,
Labor and Welfare

Realization of away of working
that canmaximize
productivity• Long working hours will becorrected by restricting the upper
limit of overtime work, introducing arule with which employers designateseasons to have annual paid holidays,
and promoting the minimum interval
between working days. In addition,
small and medium sized companies
that need securing human resources
to reform working style will besupported.

Minister of Health,
Labor and Welfare• Act on the Arrangement ofRelated Acts to Promote Work
Style Reform (Act No. 71 in2018) will be enforced in April
2019. (However, some rules will
be enforced after FY2020.)
Moreover, a subsidy to small andmedium sized companies andsmall scale enterprises working
on the working style reformwhich could improve
employment management by
hiring people will be introducedin April 2019.

17 Act on the facilitation of active roles by women in their working life (Act No. 64 of 2015)

38

Provisional Translation

2-3. Promotion of utilization of foreign human resources
1) Progress in achieving KPI targets
<KPI>

<KPI>

“Aim to recognize 10,000 highly₋skilled foreign professionals by the endof 2020 and recognize 20,000 highly-skilled foreign professionals by theend of 2022.” [125]⇒ 15,386 professionals recognized as highly₋skilled foreign professionals from theintroduction of the Points₋based System for Highly-Skilled Foreign Professionals(May 2012) until December 2018.
“The number of foreign students’ acceptance will be doubled from
140,000 to 300,000 by 2020. (implementation of “300,000 Foreign
Students Plan”)” [124]⇒ The number of foreign students at universities, graduate schools, and otherinstitutions of higher education is 208,901 (as of May 2018).
* It is 298,980 if 90,079 foreign students at Japanese language schools are included(as of May 2018).

2) Progress made in implementing measures
MeasurePromotion of
accepting highly
skilled foreign
human resources

Progress and implementation status

Minister in charge• To accept more foreign• On December 28, 2018, a
entrepreneurs, "startup program
notification 18 that sets out the(provisional name)" will be launchedprocedures for local governments
in 2018 to support activities ofto promote activities of foreign
starting business by taking measures
entrepreneurs to start new
on the immigration control systembusiness was enforced. Insuch as granting a period ofaddition, for foreign
residence of up to one year to prepare
entrepreneurs who receive
for starting new business, by
support for entrepreneurship fromchecking the status of the activities,
local public bodies in accordanceand by implementing managementwith the notification, aand support measures such as
notification was enforced on thedeveloping a consultation system.
same day allowing them to enterand stay in Japan with a status ofresidence for "DesignatedActivities" within a period notexceeding one year.
• Expansion of universities targeted for • A notification to relax the criteria
special additions in the "Points-basedof receiving special addition in
System for Highly-Skilled Foreignthe "Points-based System forProfessionals" will be reviewed.
Highly-Skilled Foreign
Professionals" was enforced in
March 2019. (The number ofuniversities targeted for the
special additions is expected toincrease from current 13 to morethan 100.)Contents and completion deadline

Minister of Justice,
Minister of
Economy, Trade andIndustry

18 Notification on projects for encouraging foreign entrepreneurs to start business (Notification

Trade and Industry in 2018)39

Minister of JusticeNo. 256 of the Ministry of Economy,

Provisional Translation

Accepting new
foreign humanresources• In order to expand the acceptance of
foreign personnel not as theimmigration policy in the fields
where the foreign personnel is truly
necessary, the current system toaccept specialized and technicalforeigners will be expanded and a
new status of residence for
immediately effective foreign
workers with certain expertise andskills to work in Japan will becreated.

• A law (Law No. 102 in 2018) toMinister of Justicepartially amend the Immigration
Control and Refugee Recognition
Act including the establishmentof a new status of residence andthe Act for Establishment of the
Ministry of Justice was enacted in
the extraordinary session of theDiet in 2018 and promulgated on
December 14, 2018. For theenforcement of the law, theCabinet approved a basic policy
and operation policies fordifferent fields on December 25.
The relevant ministerial
ordinance and notification waspromulgated in March 2019 andwill be enacted on April 1 of thesame year.

40

Provisional Translation

3. Support for university reform, industry-university-government
collaboration, and venture businesses for innovation
3-1. Development of autonomous innovation ecology system
1) Progress in achieving KPI targets
<KPI>

<KPI>

“By 2025, private-sector companies will triple their investment inuniversities and national research and development agencies.” [130]⇒ 136.1 billion yen (FY2017 actual)“The percentage of investments in research and development for both
the government and private sectors relative to GDP will be 4% or higher
by FY2020.” [132]⇒ 3.48% (achieved in FY2017)2) Progress made in implementing measures
MeasureContents and completion deadline

Progress and implementation status

Creation of
intellectual
intensive industry
by university
reform, etc.

• In order to strengthen the
management base and promote
efficient management, efforts will bemade to submit to the regular Diet in2019 an amendment of the National
University Corporation Act including
the introduction a system for a single
corporation to manage multiple
national universities and the divisionof management and teaching
functions.

• An amendment of the National
University Corporation Act 19
was submitted to the regular Diet
in 2019 to establish a system
where national universities areallowed to choose on their own
initiative “the system for a single
corporation to manage multiple
national universities,” allow theuniversities to choose the divisionof management and teaching
functions, and oblige theuniversities to appoint multiple
outside board members.
• The distribution of a part of thenational university management
grants based on the actual
situation centering on theachievements such as externalfund acquisition status wasintroduced from FY2019.
In addition, the Project on
Strengthening of Innovation
Creation Environment in National
University which gives incentives
according to the external funds
acquisition status will be carriedout from FY2019.

• A system of providing incentives tonational universities, mainly research
universities, depending on theiracquisition status of private funds,
for example by weighted distributionof the university management
budgets through evaluation will be
studied in FY2018 and introduced astrial as early as possible.

19 Draft to partially amend the School Education Act (Act No. 22 of 2019)41

Minister in charge

Minister of
Education, Culture,
Sports, Scienceand Technology
Prime Minister(Minister of Statefor Science
Technology
Policy), Ministerof Education,
Culture, Sports,
Science andTechnology

Provisional Translation

3-2. Strengthening of support for venture businesses
1) Progress in achieving KPI targets<KPI>

By 2022, aim to double the ratio of the amount of capital investment toventure companies to the nominal GDP.
⇒ The average of three years from 2015 to 2017: 0.030%

2) Progress made in implementing measures
MeasureInnovation andbusiness
establishment

Contents and completion deadline

Progress and implementation status

Minister in charge• Efforts to promote the utilization of• The bidding opportunities of Jsmall and medium sized companies
Startup selected companies inand venture companies of researchsome public procurement casesand development type for public
was expanded. Efforts were madeprocurement in light of the specificon the development of theneeds of national organizations will
guideline for promoting the
be enhanced. In addition, a guideline
utilization of small and medium
for ministries will be made in
sized companies and venture
FY2018 to encourage the entire
companies in public procurement,
government to introduce advanced
and the guideline was publishedtechnologies and utilize small andon April 1, 2019.
medium sized companies and venturecompanies.
• A system that can notify startups of• “Super-accelerated examination
primary examination results of theirfor startups” was launched on
patent applications within one monthJuly, 2018, which can be used by("super-accelerated examination")startups if they file “patent
will be established by the fall of
application for technology which2018. Efforts will be made to help
is already utilized or will bestartups acquire a right that they canutilized shortly” even when it isutilize easily through interviews for
not internationally filed. In
direct communication withaddition to the "super-accelerated
examiners.
examination", “accelerated
examination through interviewsfor startups” was launched.
Startups can have interviews withexaminers before notification ofprimary examination result.

Prime Minister(Minister of State for
Science Technology
Policy), Minister of
Economy, Trade andIndustry, Minister ofLand, Infrastructure,
Transport andTourism

42

Minister of
Economy, Trade andIndustry

Provisional Translation

4. Intellectual property/standardization strategy
1) Major progress in KPI
<KPI>

<KPI>

<KPI>

In the next ten years (ending in 2023), the time required for theacquisition of right will be halved to an average of 14 months. [140]⇒ FY2017: An average of 14.1 months"Increase the ratio of patent applications submitted by SMEs to approx.
15% by FY2019." [136]⇒ FY2017: 15%"Standardize 100 excellent technologies and products of mid-ranking
companies, SMEs and other businesses by 2020." [139]⇒ Actual performance in FY2018: 19 cases

2) Progress made in implementing measures
MeasureContents and completion deadlineIntellectual
property/standardi
zation strategy• From the perspective of encouraging"Design-Driven Management" that
promotes social innovation with newtechnologies such as IoT, AI, and big
data, and protecting designs that
contribute to brand formation etc.,
including the review of the legal
system concerning thedesign
registration system and otherintellectual property rights system,
we will examine the way of thesystem contributing to "DesignDriven Management" and take themeasures required.
• On the basis of "the Emergency
Measures Against Online Piracy
Sites" (Decision on April 13, 2018 of
the Intellectual Property Strategic
Headquarters of the Ministerial
Meeting Concerning Measures
Against Crime), in addition to
expansion of the distribution ofregular version, including thoserelated to site blocking, we willconsider the way of necessary
legislation and measures including
copyright education for the people.

Progress and implementation status

43

Minister in charge• The Design Registration System
Minister of
Subcommittee etc.registration
Economy, Tradeconsidered the current design
and Industry
registration system and otherintellectual property right systems
from August 2018 onwards,
compiled a report in February
2019, and submitted a bill to theregular Diet in 2019.

• At the "Conference on Antipiracy measures on the Internet",
we focused on comprehensive
measures against piracy on theInternet. In response to this,necessary efforts are being madein the relevant ministries, etc.,
such as effective education on
copyright, promotion oflegitimate version, search sitecountermeasures, measures tosuppress advertisement entry on
pirated sites, filtering, andintroduction of "access warning
method" that displays a warningat the time of accessing pirated
sites, as well as regulating leechsites and investigation of making
downloading of infringing
content illegal.

Prime Minister(Minister of Statefor Special
Missions(Intellectual
Property Strategy),
Chairman of
National Public
Security
Commission),
Minister of Internal
Affairs, Minister ofJustice, Minister of
Education, Culture,
Sports, Scienceand Technology,
Minister of
Economy, Tradeand Industry

Provisional Translation[2] Bold regulatory and institutional reforms
1. Use of the sandbox system and conversion from verticalregulations/development of rules corresponding to the rise of
platformer type business/direction of the policy for competition
 Progress in implementing measures
Progress and implementation status

Minister in charge

Development of • The Cabinet Secretariat shall, in• On June 6, 2018, we set up aa crosscooperation with the Cabinet Office,Social Implementation Promotion
governmental,
establish a centralized window (Social
Team for New Technologies etc.
integrated
Implementation Promotion Team for(a regulatory sandbox system as asystem for social
New Technologies etc. (provisional
general integrated window of theimplementationname)) to receive a wide range ofgovernment), and provideof new
applications for those who use adetailed consultations fortechnologies etc.
regulatory "Sandbox" system toapplications from private
implement "demonstration of newcompanies.
technologies etc.", and engage in priorconsultations (confirmation of theinnovativeness of new technologies,
confirmation/organization of
applicable regulations of newtechnologies, and confirmation of thecompetent minister, etc.) in response to
applications from private entities.

MeasureContents and completion deadline

Prime Minister(Minister of
Economic
Revitalization,
Minister of Statefor Special
Missions(Economic andFiscal Policy,
Regional
Revitalization,
Regulatory
Reform)), Ministerof Economy, Tradeand Industry

Development ofan environment
for platform
selection

Prime Minister(Minister of
Economic
Revitalization,
Minister of Statefor Special
Missions in chargeof work for the
Fair Trade
Commission,
Minister of
Economy, Tradeand Industry• In order to develop an environment in• In July 2018, we set up a "study
which new platform-type businesses
group on the development of aare created one after another and active
trading environment for digitalcompetition takes place, we examine
platforms", consisting ofefforts to allow the user to select theacademic experts etc. withmost easy-to-use platform, and toknowledge on competition policy,
ensure that a fair and free competition
information policy, and consumer
environment be established, including
policy, etc. and examined issues
SMEs and ventures. In view of theand responses surrounding digital
above, Ministries will makeplatformers. In addition toconsiderations, set basic principles inpublishing a mid-term summary
2018, and immediately proceed withof issues compiled by the study
specific measures in line with suchgroup in December of the same
principles toward the development ofyear, we formulated the "basic
fair, free and transparent environment
principles of developing rules
for competition, deregulation forcorresponding to the rise ofpromoting innovation (relaxation of
platform-type business".
entry requirements, etc.), establishment
Currently we are examiningof social responsibility of digitalspecific measures in line with theplatformers, securing of fairness toabove.
users and so on, including how to shift
from existing vertical businessregulations to a new regulatory systemthat focuses on services and functions,data portability that allows users totransfer from a specific platform
anytime, and releasing API for open
connection, etc. Relationships,
including the development of a fair,
free and transparent competition
environment.

44

Provisional Translation

Examination of
the competition
policy in
response tochanges in
economic andsocial structures• While economic and social structures
themselves have changed significantly,
such as demand reductions due topopulation declines in the region andintensified global competition, fromthe viewpoint of securing supporting
services essential to each region,
strengthening the business
management power of companies ineach region, etc. an environment for
free competition, and improving the
profit of general users, etc., thegovernment as a whole will proceedwith the examination of the way ofcompetition as a whole, and will reacha conclusion within the fiscal year of
FY2018.

45• In the “Interim consolidation of
the direction of economic policy”(November 26, 2018, Future
Investment Conference; Town,
People, Work Creation
Conference; Economic and Fiscal
Advisory Council; Regulatory
Reform Promotion Conference),
we decided to study "the state ofapplication of the Antimonopoly
Act to business integration of
local infrastructure companies(development of transparent rulesthat can be used to examine eachsituation where a monopoly issuspected on the basis of theestablished new system or
predictability) for the purpose of
pursuing the integration,enhancement, and productivity
improvement of local
infrastructure companies engaged
in local banking and bus
operation businesses etc. inconsideration of the actual
situation of each local economy"etc.

Prime Minister(Minister of
Economic
Revitalization,
Minister of Statefor Special
Missions in chargeof work for the
Fair Trade
Commission(Financial
Services), Ministerof Economy, Tradeand Industry

Provisional Translation

2. Investment promotion and corporate governance
1) Major progress in KPI<KPI>"Aim for a level of ROA of major companies (TOPIX 500) comparable tothat of European companies by 2025"[141]⇒ Japan (TOPIX500): 4.0%, USA (S&P500): 6.2%, Europe (BE500): 4.2%
* All are calculated as of the late May 2019 about the annual accounts of eachcompany in the period from April 2018 to March 20192) Progress made in implementing measures
MeasureCorporate
governancereformContents and completion deadline

Progress and implementation status

Minister in charge• The Government will consider themeasures for each entity to fulfill eachfunction in the flow of investment
while following up the situations
involving issues such as business
management decisions in response toenvironmental changes, strategic andplanned investments,
appointment/dismissal of CEOs in
objective, timely and transparent
manners, securing diversity of theboard of directors (including genderand international aspects), reduction ofpolicy holdings, and the fulfillment offunctions as an asset owner ofcompany pension etc.

• The Government revised thecorporate governance code inJune 2018, and formulated the"Guidelines for investor-company
dialogue".
In addition, based on the revisionof the corporate governance code,in September 2018, we revised
the “Practice Guidelines on the
Corporate Governance System(CGS Guidelines)”.
In February 2019, the guidelines
concerning the reconsideration of
the company law system (related
to corporate governance etc.)
including the obligatory
establishment of outside directors
in listed companies etc. werecompiled, and a report was
obtained at the General Assemblyof the Legislative Council of the
Ministry of Justice.
• Based on the discussions of the
CGS research group (2nd term),
we plan to publish the "Practical
Guideline on Group Governance
System" in June 2019, which willshow the ideal state of group
governance including listed
subsidiaries.

Prime Minister(Minister of Statefor Special
Missions(Financial
Services)),
Minister of Justice,
Minister of
Economy, Tradeand Industry• From the perspective of improving thevalue of the entire corporate group, we
will formulate a Practical Guideline on
Group Governance System in both“defensive” and “offensive” aspects ofgroup management, and how to
optimize the business portfolio, etc.

46

Prime Minister(Minister of Statefor Special
Missions(Financial
Services)),
Minister of Justice,
Minister of
Economy, Tradeand Industry

Provisional Translation

Improving thequality of
information
disclosure forconstructive
dialogues, andthe quality ofaccounting andauditing• In order to promote M & A on own
shares, we will promote the use of
special measures on the tax system andthe Companies Act (Act No. 86 of2005) established through the revisionof the Act on Strengthening Industrial
Competitiveness 20, examine the plan toformulate new regulations in the
Companies Act regarding M&A basedon the value or consideration fortreasury shares in the Sectional
Meeting set up at the Legislative
Council, and reach a conclusion within
2018.

• In order to promote the use of
special measures concerning thetax system and the Companies
Act established by the revision of
the Act on Strengthening
Industrial Competitiveness,
publicity activities such as
lectures at seminars for businesspeople and postings innewspapers and specialized
media are being carried out. In
February 2019, the guidelines
concerning the reconsideration of
the company law system (related
to corporate governance etc.)
including the establishment ofshare issuance system as a new
regulation regarding M&A basedon the value or consideration fortreasury shares were compiled,and a report was obtained at theGeneral Assembly of theLegislative Council of the
Ministry of Justice.

Minister of Justice,
Minister of
Economy, Tradeand Industry• With regard to information disclosureof listed companies contributing toconstructive dialogue between
companies and investors including
business strategy and governanceinformation etc., we will implement
measures based on the conclusions of
the Financial System Council by theend of the first half of 2019, and willcomprehensively examine the way of
disclosure.
• The Government will consider thegeneral provision of electronic
notification of attachments to thenotification of convocation of thegeneral meeting of shareholders at theSection Meeting of the Legislative
Council of the Ministry of Justice, andwe will reach a conclusion by the endof FY2018.

• In addition to revising the
Cabinet Office Ordinance on thedisclosure of corporate contents
etc. in January 2019, the"Principle on the Disclosure of
Descriptive Information" and the"Good Practices of the Disclosureof Descriptive Information" were
published in March of the sameyear.

Prime Minister(Minister of Statefor Special
Missions(Financial
Services)),
Minister of Justice,
Minister of
Economy, Tradeand Industry• In February 2019, the guidelines
concerning the reconsideration of
the company law system (related
to corporate governance etc.)
including the establishment of anelectronic provision system
regarding materials for thegeneral meeting of shareholders
were compiled, and a report was
obtained at the General Assemblyof the Legislative Council of the
Ministry of Justice.

20 Act on Strengthening Industrial Competitiveness (Act No. 98 of 2013)47

Provisional Translation• On the basis of the “approach for• In December 2018, we
integrated disclosure of businessannounced "support for efforts
reports etc. and securities reports”
for integrated disclosure of(formulated on December 28, 2017 bybusiness reports etc. andthe Cabinet Secretariat, FSA, Ministry
securities reports" (formulated byof Justice, Ministry of Economy, Trade
the Cabinet Secretariat, FSA,
and Industry), relevant ministries andMinistry of Justice, Ministry ofagencies will, while supporting the
Economy, Trade and Industry),
trial efforts of companies to makeand presented examples ofintegrated disclosures, consider
description and schedule etc. inexamples and related issues etc. of
the case of integral disclosure of
integrated disclosure, and will publish
business reports etc. andthe contents of the consideration
securities reports.
within 2018, and implement required
efforts promptly thereafter.
• The Government will promote the• As of the end of March 31, 2019,
expansion of voluntary enterprises tothe number of voluntary
which International Accounting
companies to which IFRS is
Standards (IFRS) is applied byapplied is 213, or 34.7% of the
pursuing further efforts to facilitate
total market value of all listedtransition to IFRS in cooperation withcompanies. As regards therelevant organizations, etc. In addition,transparency of audit reports, thewe will investigate further efforts toaudit standard was revised in Julyenhance the provision of information
2018, and in January 2019, theon audits and conduct research on thereport on the "round-tablerotation system of the auditing firms.
meeting on enhancement of
information provision on
accounting audit" was published .

Prime Minister(Minister of Statefor Special
Missions(Financial
Services))

Promotingmedium- andlong-term
investment• Based on the trend of international
disclosure requests such as that of the
Financial Stability Board (FSB) 's
Climate Change-Related Financial
Information Disclosure Task Force(TCFD), the revised Environmental
Reporting Guidelines were publishedin June 2018, and a guide andcommentary for complementing andsupplementing the contents of theguidelines will be issued during FY
2018. In addition, we will selectcompanies that fall under the TCFD
Proposal by the end of 2018, andprovide support including advice etc.

• A commentary for environmental
reporting that complements the"Environmental Reporting
Guideline 2018" published inJune 2018 was issued in March,
2019.

Minister of theEnvironment

Promotingsmooth funding
through therealization of
dynamic
financial andcapital markets• To reduce settlement risk and improve
market efficiency, etc., we will
promote the steady implementation of
T + 2 conversion of stock andcorporate bonds etc. during 2019.

• Settlement period for shares etc.
will be shortened (through T + 2
conversion) in July 2019.

Prime Minister(Minister of Statefor Special
Missions(Financial
Services))48

Provisional Translation

3. Promotion of the National Strategic Special Zones
 Progress in implementing measures
MeasureUtilization ofvirtual special
zone typedesignation
systemContents and completion deadline

Progress and implementation status

Minister in charge• About National Strategic Special
Zones, we will adopt "regional
revitalization type virtual specialzone" type designation, and, about
the specific menu, we will enable
demonstration through horizontal
cooperation beyond existing special
zone areas. In addition, we will also
examine the designation system ofnear-future technology type virtual
special zone and obtain a conclusion
within 2018.

• Based on the discussion at the35th National Strategic Special
Zone Advisory Council held on
June 14, 2018, we will revise thebasic policy for newly
establishing "a specific businesscollaboration type designation
system" to conduct demonstration
projects efficiently andeffectively through regional
collaboration aimed fornationwide development ofspecific regulatory reform
matters. Specifically, at the 37th
National Strategic Special Zone
Advisory Council held on
December 17, 2018, the policy
was adopted for utilizing thevirtual special zone system forremote instruction on medication.

Prime Minister(Minister of Statefor the Promotionof Overcoming
Population Decline
and Vitalizing
Local Economy inJapan)

49

Provisional Translation[3] Taking in Overseas Growing Markets
1) Major progress of KPI
<KPI>

<KPI>

<KPI>

<KPI>

<KPI>

"Aim to raise FTA ratio to 70% (2012: 18.9%) by 2018" [147]⇒ As of the end of FY2018: the FTA ratio 51.6%* The ratio of the amount of trade with countries with which EPAs & FTAs are ineffect and signed as of the end of FY2018 in proportion to Japan’s total amount oftrade (based on the amount of trade in2018)* Negotiations on 4 EPAs are underway with a view to an early conclusion (If theratio includes those 4 EPAs, it would be 86.2%)"Double the inward foreign direct investment (FDI) stocks to 35 trillion
yen by 2020." [150]⇒ As of the end of 2018: 30.7 trillion yen"Double the value of export and overseas subsidiary sales by SMEs by2020 compared with the level of 2010" [149]⇒ FY2016: 20.6 trillion yen (FY2010: 12.8 trillion yen)
"Achieve infrastructure system orders of approximately 30 trillion yen in2020 (2010: approx. 10 trillion yen) " [142]⇒ In 2016: about 21 trillion yen* KPI includes “the amount of income from business investment, etc.”"Increase overseas sales of broadcast contents to 50 billion yen by
FY2020" [151]⇒ FY2017: 44.45 billion yen

2) Progress made in implementing measures
MeasureContents and completion deadline

Global expansionof Society 5.0 andachieving SDGs

• The Government encourages
establishment of leading private
sector projects for realizing"Society 5.0" abroad withparticipation of large, small andmedium and SMEs, venturecompanies and foreign companies
if necessary, and supports theseprojects through the measures ofgovernment agencies.

Progress and implementation status

Minister in charge• The Center for the Fourth Industrial Minister ofRevolution Japan / World
Economy, Trade
Economic Forum (WEF) was
and Industry
established in July 2018 throughcollaboration of WEF, Asia PacificInitiative and the Ministry of
Economy, Trade and Industry. The
center has launched public-private
project teams in the three areas:
healthcare, smart cities andmobility, and is working on project
implementation.

50

Provisional Translation

Supporting
overseas businessexpansion ofJapanesecompanies• In addition to steadily• While trying to disseminate “theimplementing the measuresquality infrastructure” throughincorporated in the “Infrastructure
various diplomatic opportunities
System Export Strategy (Revised
and multilateral rule-making, etc., a
Edition FY 2018)” (approved byfacility has been newly establishedthe Ministerial Meeting on Strategy
at the Japan Bank for International
relating to Infrastructure Exports
Cooperation (JBIC) to widelyand Economic Cooperation on June
support quality infrastructure
7, 2018), the Government works on
development.
In addition, the Government
strengthening competitivenesspromoted third-country
through public-private approachcooperation, information sharing
with the enhancement of support on
and strengthening of cooperative
soft infrastructure, etc., so as torelationships with otherincrease the orders received bygovernments and among
Japanese companies, while paying
government agencies, and support
attention to foreign policy.
for improvement of the legal
system in developing countries.
Furthermore, the Act on Promoting
Entry of Japanese Businesses into
Overseas Social Capital Projects(Act No. 40 of 2018) has been
enforced, enabling consistentefforts from project formation tooperation and maintenance after
completion.
The Government clarified theapproval of transfer acceptance ofthe equity stake of the company
that received public financial
support, and improved the system
relating Japanese technology
utilization conditions of Japanese
ODA loan.
• [Economic Partnership• TPP 11 was signed by 11 countries
Negotiations] In order to expand aon March 8, 2018, and entered into
free and fair markets not only inforce on December 30, 2018.
Asia-Pacific region, but across the
Additionally, Japan-EU EPA wasworld, the Government makes
signed on July 17 of the same year,
efforts to the early entry into force
and entered into force on Februaryof TPP 11 signed on March 8, 2018
1, 2019. The government will
and furthers the discussion oncontinue to make efforts toward
expansion of its member
steady implementation of the Japancountries/regions. Moreover, theEU-EPA as well as the expansion
Government aims at early signingof TPP 11, while promoting RCEP
and entry into force of the Japanand other economic partnership
EU EPA whose negotiations wereagreements currently underconcluded in December 2018. The
negotiation.
Government promotes strategicallyand expeditiously the economic
partnership negotiations including
RCEP and Japan-China-Republicof Korea FTA. Playing central roles
in building such wider new
economic order, Japan, as the flagbearer of free trade, aims to takethe lead in establishingcomprehensive, balanced, and highlevel global rules.

51

Minister of Internal
Affairs andCommunications,
Minister of Justice,
Minister for
Foreign Affairs,
Minister ofFinance, Ministerof Economy, Tradeand Industry,
Minister of Land,
Infrastructure andTransport, Ministerof the Environment

Prime Minister(Economic
Revitalization
Minister, Ministerof State for Special
Missions(Consumer andFood Safety)),
Minister of Internal
Affairs andCommunications,
Minister of Justice,
Minister for
Foreign Affairs,
Minister ofFinance, Ministerof Education,
Culture, Sports,
Science andTechnology,
Minister of Health,
Labor and Welfare,
Minister ofAgriculture,
Forestry andProvisional Translation

Fisheries, Ministerof Economy, Tradeand Industry,
Minister of Land,
Infrastructure,
Transport andTourism52

Provisional Translation[Investment-related agreements] It is
expected to cover 92 countries /regions in total, if those that are
currently under negotiation are
counted. The Government will aim tolaunch new negotiations with 6
additional countries by the end of
2018, through mutual consultations.

• Regarding the promotion of
investment agreements, the JapanArmenia Investment Agreement
was signed in February 2018, andthe Japan-United Arab Emirates(UAE) Investment Agreement inApril, the Japan-Jordan Investment
Agreement in November, andJapan-Argentina Investment
Agreement in December.
Furthermore, other investment
agreement negotiations started in
the same year with three countries,
i.e. Ethiopia, Tajikistan andParaguay, as well as Azerbaijan in
February 2019. If all theseinvestment agreements currently
under negotiation enter into force,
94 countries/regions will becovered. The Government will
steadily advance these agreements
and aims to expand new countries
for negotiations.

[Tax Treaty] The Government
promotes the qualitative andquantitative expansion of tax treaty
network necessary to support soundoverseas business expansion ofJapanese companies throughconcluding new tax treaties orrevising existing treaties withcountries/regions where developmentof investment relations with Japan are
expected.

• New tax treaties with Lithuania,
Estonia and Iceland were approved
during the ordinary session of theDiet in May 2018 and entered into
force in August, September andOctober of that year, respectively.
Amendment of tax treaties with
Russia and Denmark were also
approved during the same ordinary
session of the Diet, and entered into
force in October and December ofthe same year, respectively.
Furthermore, amendment of tax
treaties with Austria and Belgium
approved during the ordinary
session of the Diet in May 2017
entered into force in October 2018
and January 2019, respectively. In
addition, new tax treaties with
Croatia, Colombia and Ecuador
were signed in October andDecember 2018, and January 2019,respectively. Amendment of tax
treaties with Spain was also signedin October 2018. The government
also made steady progress in tax
treaty negotiations with other53

Prime Minister(Economic
Revitalization
Minister, Ministerof State for Special
Missions(Consumer andFood Safety)),
Minister of Internal
Affairs andCommunications,
Minister of Justice,
Minister for
Foreign Affairs,
Minister ofFinance, Ministerof Education,
Culture, Sports,
Science andTechnology,
Minister of
Health, Labor andWelfare, Ministerof Agriculture,
Forestry and
Fisheries, Ministerof Economy, Tradeand Industry,
Minister of Land,
Infrastructure,
Transport andTourismProvisional Translation

countries.

54

Provisional Translation• With the “Consortium for New
Export Nation” at the core of theefforts, the Government expands
the operation of overseas-based
experts and provides the consistenthands-on support etc. throughout
from Japan to abroad. In thatoccasion, the Government supports
mainly the frontrunning companies
for the regional future and actively
invites such companies which are
not the member of the consortium
to become members.
For promoting utilization of crossborder EC which is useful ingrasping the market needs, theGovernment strengthens support
measures, such as matching withplatformers, and setting up a
special website by JETRO for themarketing of Japanese products onoverseas EC websites.
Measures to makeuse of Japan’s
charm• In addition to hands-on support by
Minister of
supporting agencies, JETRO set up Economy, Tradethe “Japan Mall” on the major
and Industry
overseas EC websites, and throughmatching EC vendors withJapanese companies, etc., initiateda mechanism for EC vendors to
select, buy and sell Japanese
products. Related projects are now
implemented in Singapore andHong Kong, etc.

• The Government materializes the• The Promotion of Development ofinternationally competitive andSpecified Complex Tourist
attractive extended-stay style
Facilities Areas bill was enacted in
tourism by the Act on Promotion of
the regular Diet of 2018 and, in
Development of Specified
response to the act being
Complex Tourist Facilities Areas
promulgated on July 27, 2018, thesubmitted to the session of the
Enforcement Order of the Act onregular Diet of 2018 andPromotion of Development of
implements the measures toSpecified Complex Tourist
eliminate completely the concerns
Facilities Areas (Decree No.72 of
to the IR by the world’s highest2019) was promulgated on Marchstandard regulations over casino.
29, 2019.
From now on, the Government
Based on the act, the Government
implements the preparation ofcontinues the process of examining
related Cabinet orders andthe related Cabinet orders andministerial orders and establishes
ministerial orders, etc. andadequate administrative systems
preparing for the establishment ofnecessary for the world’s highestthe Casino Management
standard regulations. The
Committee.
Government brings out the effect of
the above-mentioned policy assoon as possible and takes thoroughand sufficient measures to address
various concerns including
addiction.

Prime Minister(Minister of Statein charge of affairs
concerning thePromotion of
Development ofSpecified Complex
Tourist Facilities
Areas (IR))• At the site of the international
exposition in 2025, theGovernment does trial andshowcases of the future society andlifestyle which innovation brings
about, and demonstrates real-world
application of the "Society 5.0" tothe world.
The Government materializes that
Osaka/Kansai hosts the exposition,

Minister of
Economy, Tradeand Industry• As a result of All Japan's invitation
activities to attract each country,
Japan was selected to be the hostcountry of the 2025 World Expo on
November 23, 2018. On February
8, 2019, a draft bill was submitted
to the regular Diet for special
measures necessary for the
preparation and operation of theworld exposition held in 2025.

55

Provisional Translationby the lobbying activities of theGovernment, the municipal
governments, the business
community, members of the Diet,
etc., by the dispatch of special
envoys to each country, by holding
events in and outside of Japan, etc.
toward the voting to decide the hostcity to be held in November 2018.

56

Provisional Translation

III. Implementation of KPI Review
There are 152 KPIs set in the " Action Plan ", and each of these KPIs was assessed
into four categories, A, B, F, and N, depending on the state of progress made and otherfactors.
A is for KPI that shows progress toward target achievement at a pace faster than the
proportion of the transitional period to the target achievement period;
B is for KPI showing a progress slower than A; F is for a KPI to indicate whether or
not the measure has been put into implementation during the year and thus requiring
annual confirmation of the implementation status; and N is for a KPI whose evaluation
is dependent on the future acquisition of relevant data and thus cannot be evaluated atpresent (the evaluation will be made upon obtaining the data ).
The current progresses in January 2018 of each of those 134 KPIs are 60 KPIs for A
Category, 54 KPIs of B Category, 8 KPIs of F Category, and 12 KPIs of N Category,
while the progress of the relevant 152 KPIs have been categorized as follows: 51 KPIs
of A Category, 62 KPIs of B Category, 12 KPIs of F Category, and 27 KPIs of N
Category (refer to the Provisional).
Based on these progress statuses, the “Action Plan for Innovative Business Activities”(Declared on June 21st 2019, Cabinet Decision) will be revised, and measures toimprove productivity in a short period through innovative business activities will bestrengthened.

57

Provisional Translation
KPI progress status
This report is a summary of progress made to date in achieving the KPI objectives listed in the Action Plan , as shown below.
 The "KPI" column describes KPIs listed in the Action Plan .

The “Main Supervising Ministry/Agency” column refers to the name of the ministry or agency, etc. that is particularly associatedwith achieving the KPI objectives established for each policy group.
The “Source of KPIs” column refers to the names of statistics or research, etc. on which the KPI figures were based.
The “Latest Figures” column refers to the most recent KPI figures with dates (in brackets).
The “KPI Progress” column has been categorized in the following manner:
A:
B:
F:
N:



KPI that shows progress toward target achievement at a pace faster than the proportion of the transitional period to the target
achievement period;
KPI that does not show as significant progress as A;
The policy itself constitutes a KPI, the implementation of which is to be confirmed for each fiscal year;(An example of KPI) The power system reform is aimed to be completed no later than 2020.
An assessment cannot be made at this stage since data is not yet available (assessment will be made as soon as data is madeavailable).

The “Details on the KPI Progress” column refers to the reasons behind and other details on the “KPI Progress” assessment.

Provisional Translation

I.

Focus areas to be tackled in the future toward realization of "Society 5.0" and the"Flagship Project" that drives change, etc.[1], i.e. "life" and "industry" will change.

Group of measures: Construction of a next-generation mobility system

Reference
No.

KPI

Latest Figures

KPI Progress

Details of KPI Progress

Source of KPIs

Main Supervising
Ministry/Agency

1

The unmanned automated driving
transportation service on public roads
in specified areas will be launched byaround 2020.

―

F

In order to start the unmanned automated driving
transportation service on public roads in specified
areas, the relevant ministries and agencies
proceed with efforts to improve the system in linewith the "System improvement Outline
Concerning Automated Driving" decided by the
IT Headquarters in April 2018.
In addition, longer-term demonstration
experiments with a view to social implementation
have been conducted in various parts of thecountry starting in FY2018, and verification is
performed from various angles, such as the
aspects of technology, business andsocial acceptance.

―

CabinetSecretariat(National Strategy
Office ofInformation andCommunications
Technology)2

The unmanned automated driving
transportation service in specified
areas will be launched at 100 or moreplaces across the whole country byaround 2030..

―

N

As reference No. 1 will be implemented by 2020,
thereafter, we will promote the development ofother unmanned automated driving transportation
services in other areas and acquire data.

―

CabinetSecretariat(National Strategy
Office ofInformation andCommunications
Technology)3

By 2020, automatic brakes will be
installed on more than 90% of newpassenger cars sold in Japan.

The current
percentage of
installation on
newly soldautomobiles inJapan: 77.8%(2016)(2017)A

Automatic brake installation rate was 66.2% in
2016, but has risen to 77.8% in 2017, making
steady progress toward the goal.

Calculated by the
Ministry of Land,
Infrastructure,
Transport andTourismCabinetSecretariat(National Strategy
Office ofInformation andCommunications
Technology)

1Provisional Translation4

5

By 2020, 20% of the automobiles inJapan (stock base) will have a safety
driving support device/system, which
accounts for 30% of the world's total.

By 2030, all new automobiles in Japan
will have a standard safety driving
support device/system. In addition,
almost all automobiles (stock base) will
have such a device/system.

The current
percentage of
installation on
automobiles inJapan: 14.1%(2017)
Japan's share ofsuchautomobiles in
the global
market: 16.2%(2016)

The current
percentage
of suchautomobiles
in Japan: A

The current
percentage of
installation on
new automobiles
in Japan: 68.7%(2017)
The current
percentage ofsuchautomobiles inJapan (stockbase): 14.1%(2017)

New
automobiles:AWorld
market: B

Stock base:B

As regards domestic automobiles (excluding
motorcycles etc.), the (estimated) percentage of
automobiles with advanced emergency braking
systems (AEB) as a safety driving support
device/system (incl. a low-speed range system)
against the total number of automobiles in Japan(excl. motor cycles) is defined as a KPI. The
percentage of such automobiles in Japan has
increased to 14.1%, already exceeding theprorated KPI target of 12.3% at this point. On theother hand, Japan's share of such new vehicles
in the global market fell short of its prorated KPItarget.

The Ministry of Land,
Infrastructure,
Transport andTourism, "Survey on
the Widespread Useof ASV
Technologies";
Automobile
Inspection &Registration
Information
Association,"Changes in the
Number ofAutomobiles inJapan"; HISInc.
"Shipped number of
ECUs for AEB(2016)"

CabinetSecretariat(National Strategy
Office ofInformation andCommunications
Technology)

Toward the achievement of this KPI target,
follow-up measures will be taken in accordancewith mid- and short-term roadmaps, etc. The
current percentage of "new" automobiles with asafety driving support device/system in Japan is
68.7%, already exceeding the prorated KPI targetof 59.9% at this point. On the other hand, thecurrent percentage of automobiles with a safety
driving support device/system in Japan (stockbase) is 14.1%, falling short of the prorated KPItarget of 16.2% at this point.

The Ministry of Land,
Infrastructure,
Transport andTourism's "Survey on
the Widespread Useof ASV
Technologies",
Automobile
Inspection &Registration
Information
Association's"Changes in the
Number ofAutomobiles inJapan"

CabinetSecretariat(National Strategy
Office ofInformation andCommunications
Technology)

2

Provisional Translation

6

In 2020, achieving the size of thedomestic robot production in the
manufacturing area to 1.2 trillion yen
and in the non-manufacturing areas
such as services to 1.2 trillion yen.

Manufacturingsectors: Approx.
900 billion yen(2017)
Nonmanufacturingsectors: Approx.
180 billion yen(2017)B

The market scale of domestic robot production in2013 was approx. 500 billion yen in
manufacturing sectors and approx. 50 billion yen
in non-manufacturing sectors with target
achievement period of 7 years. As for the “latest
figures,” production in manufacturing sectors
hovered around 900 billion yen (addition of
approx. 180 billion yen from 2016) in 2017 while
production in non-manufacturing sectors wasapprox. 50 billion yen; however, costs concerning
system integration are excluded. The nonmanufacturing sector is limited to about 180
billion yen in 2017 (compared to about 40 billion
yen in 2016), and the Government will need topromote its measures further while continuing tomonitor the annual market growth as it continues
to steadily implement related measures. In future,
the Government will need to promote its
measures further while steadily implementing the“Japan’s Robot Strategy” that was decided in
February 2015. At the same time, efforts will be
required among mid-ranking companies and
SMEs concerning robot introduction including
measures to cut the price and implementation
cost of small-sized, general-purpose robots bymore than 20% and assistance to accelerate thenumber of personnel engaged in supporting robot
introduction.

3“Statistics on Robots:
Actual Orders,
Production andShipment” and“Shipment of service
robots” by the Japan
Robot Association(generalincorporated
association)• Total shipment of“ICT-equipped
construction
machinery”(Survey by the
Ministry of
Economy, Tradeand Industry)• “Trends in
Industrial
unmanned aircraft
industry” by theJapan UAV
Association(generalincorporated
association)

Ministry of
Economy, Tradeand Industry

Provisional Translation

I.

Focus areas to be tackled in the future toward realization of "Society 5.0" and the"Flagship Project" that drives change, etc.[1], i.e. "life" and "industry" will change.

Group of measures: Construction of a next-generation health care system

Reference
No.

1

KPI

Latest Figures

KPI Progress

Details of KPI Progress

Source of KPIs

Main Supervising
Ministry/Agency

7

Increased healthy life expectancy
over average life expectancy growth―

N

This KPI is newly set in the “Future
Investment Strategy 2018” (December 15,
2018, Cabinet decision) on the goals set in
Health Japan 21 (secondary). Healthy life
expectancy is calculated on the basis of asurvey conducted every three years, andsince the "latest figure" is for 2016, we will
evaluate the progress of this KPI when the
figure for 2019 is obtained.
Meanwhile, In the three years from 2013 to2016, the average life span of men is +0.77
years, with the healthy life expectancy being+0.95 years, while the average life
expectancy of women is +0.53 years, withthe healthy life expectancy being +0.58; theincrease in average life expectancy isoutweighed by the increase in healthy life
expectancy.

Health Labour Sciences
Research Grant, "Studyon factor analysis on
healthy life expectancy
and regional disparity,and effect verification ofhealth promotion
measures" 1

Ministry of Health,Labour andWelfare8

Extend the nation’s healthy life
expectancy by more than one yearby 2020 and by more than 2 year by2025 [70.42 for males and 73.62 forfemales (2010)]

Males: 72.14
Females: 74.79(2016)A

In the 6 years from 2010 to 2016, healthy life
expectancy increased by +1.72 years and+1.17 years for males and females,
respectively, and the objective of "anincrease of 1 year in age by 2020" has beenachieved. As regards the objective of "anincrease of 2 years in age by 2025", a steadyprogress is also shown towards target
achievement. [Comparison] Average annual
increase at an even pace (+2 years in age/15
years) x Elapsed years (6 years) = 0.8 years
in age)Health Labour Sciences
Research Grant, "Studyon factor analysis on
healthy life expectancy
and regional disparity,and effect verification ofhealth promotion
measures"

Ministry of Health,Labour andWelfareCalculated as a Health and Labour Sciences Research based on the results of Comprehensive Survey of Living Conditions (large-scale survey conducted every three years)

4

Provisional Translation

2

9

Full-scale operation of nation-wide
health information network from
2020

―

F

In July 2018, a process schedule wasformulated for the construction of a nationwide network and services that will serve as
an information collaboration basis for medical
and other fields. In addition, from July 2018
to March 2019, we conducted ademonstration project of health record
sharing service.

―

Ministry of Health,Labour andWelfare10

Increase the adoption rate ofelectronic medical charts by general
hospitals with 400 beds or more to
90% by FY2020.

85.4%(as of October
2017)

A

The adoption rate of electronic medical
charts by general hospitals with 400 beds ormore was 85.4% as of October 2017, which
is 28.1 percentage points higher than in
October 2011 when it was 57.3%.
([Comparison] Average annual rate ofincrease at a uniform pace (+32.7
percentage points / 9 years) x Elapsed years(6 years) = 21.8 percentage points), showing
a steady progress toward target
achievement.

Survey of Medical
Institutions(2017)

Ministry of Health,Labour andWelfare11

Decrease the ratio of population withmetabolic syndrome (those targeted
for specific health guidance) by 25%
from FY2008 levels by 2020.

14.2% 2FY2017(compared with
FY2008)B

To quote recent figures, the rate of decreasein the number of citizens with metabolic
syndrome and those with a high likelihood of
suffering from metabolic syndrome (refers to
the rate of decrease in those targeted forspecified health guidance) in FY2017 was
14.2%, which state of progress is slightly
lower than the even pace case.
([Comparison] Average annual rate ofincrease at a uniform pace (25 percentage
points / 12 years) x Elapsed years (9 years)= 18.8 percentage points) Further promotionof measures will be required.

“Implementation status of
specified healthcheckups and specified
health guidance” by the
Ministry of Health,Labour and Welfare

Ministry of Health,Labour andWelfareRate of decrease in the number of citizens with metabolic syndrome and those with a high likelihood of suffering from metabolic syndrome (Rate of decrease in those targeted for specified health guidance)

5

Provisional Translation

3

12

Increase the rate of citizens
undergoing health checkups (age40-74) to 80% by 2020 (including
specified health checkups).

71.0% 3(2016)B

The rate of citizens undergoing medical
checkup (age: 40-74) was 71.0% in 2016, up
3.3 percentage points from 67.7% in 2010([Comparison] Average annual rate ofincrease at an even pace (+12.3 percentage
points/10 years) x Elapsed years (6 years) =+7.4 percentage points). Steady progresshas not been made in achieving the goal of
KPI. As a factor, "difficulties for consultation"etc. is considered, and further promotion of
measures is necessary, such as promoting
horizontal development of good cases.

Comprehensive Surveyof Living conditions by
the Ministry of Health,Labour and Welfare(Survey on the rate of
citizens undergoinghealth checkup was
conducted only in theyear in which a largescale survey isconducted <once every
three years>

Ministry of Health,Labour andWelfare13

Expand the market size of nursingcare robot devices to approx. 50
billion yen in 2020 and approx. 260
billion yen in 2030.

3,360 million yen(2016)B

The nursing-care robot devices market needs
to be expanded to “approx. 50 billion yen in2020” from approx. 1 billion yen in 2012
(estimate by the Ministry of Economy, Tradeand Industry). Follow-up studies on themarket size should have continuity andshould use statistics based on actual figures,
not estimates. According to a statisticalsurvey on service robots conducted by theJapan Robot Association (generalincorporated association) since 2013, thesize of the nursing-care robot devices market
was 3,360 million yen in 2016 (actual
cumulative total of companies that
responded). Accordingly, steady progresshas not been made in achieving the goal of
KPI. As a factor, it is considered that there isa problem in the development to grasp theneeds of the care site and the understanding
to the significance and effect of utilization,etc., and it is necessary to further promote
the measure.

“Survey on trends ofrobot industry andmarkets, 2016 version”
by the Japan Robot
Association (generalincorporated association)

Ministry of
Economy, Tradeand Industry

Situation of citizens undergoing medical checkups (health examination and health checkup) and health screening

6

Provisional Translation

4

14

Number of nursing-care robot
devices to be introduced in priority
fields: 8,000 in 2030

13,361(2016)A

About the introduction of robot care machinein key areas (mobility assistance, movement
support, excretion support, watching andcommunication, bathing support and careservice support) revised in 2017, according
to a statistical survey on service robots
conducted by the Japan Robot Association(general incorporated association), domestic
shipments of robot care devices in key areas
were 13,361 units in 2016, achieving a KPI of
8,000 units by 2030.

The Japan Robot
Association (generalincorporated association)“Survey on trends ofrobot industry andmarkets, 2016 version”

Ministry of
Economy, Tradeand Industry

15

Conduct 20 clinical trials and clinicalresearches using the registereddisease data by 2020.

13 casesA

The clinical trial and clinical research cases
adopted in the past totaled 13, with 6 cases
in FY2016, 5 cases in FY2017, and 2 casesin 2018, indicating a steady progress toward
KPI achievement.

-

Ministry of Health,Labour andWelfare16

Formulate 5 guidelines, etc. on
clinical trial and clinical researchusing the registered disease data by
2020.

3 casesA

Regarding the guideline on clinical trial andclinical research using the registered diseasedata, the Government issued a notification on
the basic stance on the use of medical data
database including registered disease data
for the monitoring of the safety ofpharmaceutical products after manufactureand sales, and another on the points to note
about reliability ensurement when conducting
post-marketing surveillance of medicines andmedical devices using medical data databasein 2018. The remaining two cases are also
under consideration steadily at present, withthe aim ofissuance by 2020 as originally planned.

Footnote reference 4

Ministry of Health,Labour andWelfare"Basic idea about the use of medical data database in drug safety monitoring after marketing"(Notice of June 9, 2017 薬生薬審発 0609 No.8, and 薬生安発 0609 No.4 by Pharmaceutical Product Review and Management Section Manager and Safety Measures Section Manager)"About the points to note about reliability ensurement in post-marketing database survey of medicines" (Notice of February 21, 2018 薬生薬審発 022 No.1 by Medicine Review Management Section
Manager)"About the points to note about reliability ensurement in post-marketing database survey of medical equipment" (notice of December 19, 2018, 薬生機審発 1219 No.4 by Medical Equipment Examinationand Management Section Manager)

7

Provisional Translation

17

Eliminate any time lag in thescreening of pharmaceuticals andmedical devices by 2020.

Pharmaceuticals:
0.2 years, medical
devices: 0 year
(FY2017)

B

Regarding pharmaceutical product review
lag, the 2017 figure was 0.2 years due to asignificant reduction in the US review period.
In addition, the numerical value for FY 2017
was 0 year for the review lag for medical
devices.
Looking at the review period forpharmaceuticals and medical devices in
PMDA, the new pharmaceuticals (FY2008:
22.0 months (median)→[FY2017] 11.8 months (80th percentile
value); New medical devices: [FY2008] 14.4
months (median) → [FY2017] 11.9 months(70th percentile value)), for all of which
shortening of the period is
pursued.
In the future, with regard to pioneering
pharmaceuticals and medical devices withbreakthrough and extremely high efficacy forserious diseases, we will continue toaccelerate examinations, such as setting thegoal of the overall examination period to six
months, and focus our efforts on improving
thequality of work.

Data tabulated by the
Ministry of Health,Labour and Welfare andPMDA, and data
released in the U.S.

Ministry of Health,Labour andWelfare18

Establish the following number ofJapanese medical treatment bases
in other countries by 2020:
About 20

24
(March 2019)

A

With 24 Japanese medical treatment
locations established in other countries as ofthe end of March 2019, the process hasachieved the KPI goal of "establishing 20
locations by 2020."

Hearing surveys frombusinesses, etc.

CabinetSecretariat(Headquarters for
Healthcare Policy)

8

Provisional Translation

19

Expand the global market forJapan’s medical technologies andservices to 5 trillion yen by 2030.

Export value of
medical devices:
Approx. 584.0
billion yen; Export
value ofpharmaceuticals:
Approx. 175.7
billion yen(2016)
Export value of
medicaldevices:
Approx. 1,762.4
billion yen;
Export value ofpharmaceuticals: Approx.
3,262.1 billion
yen(2016)N

The size of the global market to be captured
by Japanese medical technologies andservices is the total of:(i) the size of the
global market for medical devices; (ii) thesize of the global market for pharmaceuticals;(iii) the size of the market acquired by
Japanese treatment locations and otherfacilities outside Japan, and (iv) the size ofthe market for medical services received bypatients visiting Japan. This includes
consultation fees paid at medical treatment
locations outside Japan and medical
expenses paid by patients visiting Japan.
Meanwhile, items (i) and (ii), in addition to theexport value of medical devices andpharmaceuticals, can also be used to
examine the sales of medical devices andpharmaceuticals abroad (it can be partiallyoverlapped with export value)(Overseas
sales of medical devices in 2016 were1,762.4 billion yen (23 companies), andoverseas sales of pharmaceuticals in 2016
were 3,262.1 billion yen (26 companies).
As for (iii) , it is difficult to make an evaluation
at this stage because the results of activities
can only be obtained after medical treatment
locations, etc. start full-scale operations. At
present, the Government is considering themethods to identify data on local market
sizes. Evaluation at this stage is difficult for(iv) as well, since the Government iscurrently reviewing the methods to identify
the future market scale in cooperation with
the Japan International Hospital (JIH) andother parties.

9

Pharmaceutical andmedical equipment
export value: Outline ofAnnual Dynamics
Statistics Report on
Pharmaceutical Industry
Production by the
Ministry of Health, Laborand Welfare in 2016
Overseas sales ofpharmaceuticals: Japan
Pharmaceutical Industry
Association DATABOOK
2018
Overseas sales of
medical devices:
according to the surveyof the Japan Federationof Medical Devices
Association (generalincorporated association)

CabinetSecretariat(Headquarters for
Healthcare Policy)

Provisional Translation

I.

Focus areas to be tackled in the future toward realization of "Society 5.0" and the"Flagship Project" that drives change, etc.[1], i.e. "life" and "industry" will change.

Group of measures: next-generation mobility system
Reference
No.

KPI

Latest Figures

20

More than 2% annual improvementin the labor productivity of the
manufacturing industry

About 1.9%
(Average growthrate between 2015
and 2017)

21

By 2020, achieving 80% ofcompanies to collect data at theirfactories, and 40% of them to link
their collected data to solving
specific management issues.

KPI Progress

Main Supervising
Ministry/Agency

Details of KPI Progress

Source of KPIs

B

The KPI has not been achieved, with laborproductivity in the manufacturing industry growing
at the rate of approx. 1.9% in 3 years between
2015 and 2017. In order to achieve 2.0%, we will
improve labor productivity in the manufacturingindustry through efficiency improvement utilizing
data from manufacturing sites and automation
through the introduction of robots. For example, inorder to make the best use of valuable data thatexists in the manufacturing field, the Government
will promote initiatives to create a system to
distribute data of factories across companies,
strengthen development of robot system
integrators, conduct necessary R&D andstandardization, and accelerate robot introduction
to small and medium sized companies.

“National Accountsof Japan” by the
Cabinet Office,“Monthly Labour
Survey” by the
Ministry of Health,Labour andWelfare and “Labor
Force Survey” by
the Ministry ofInternal Affairs andCommunications

Ministry of
Economy, Tradeand Industry

Percentage ofcompanies
collecting data:
58% (F2018)

B

Surveyed by the
Ministry of
Economy, Tradeand Industry

Ministry of
Economy, Tradeand Industry

Percentage ofcompanies linking
their collected data
to solving specificmanagement
issues: 26%(F2018)

B

While the deadline for target achievement is 2020
with a target achievement period of 4 years, 2
years have passed at the point of the “latest figure.”
The percentage of companies that collect data atfactories and the percentage of companies that link
the collected data to the solution of specificmanagement issues are 58% and 26%,
respectively, both of which are below 73.5% and30%, required as of 2018 to achieve KPI.
Toward achieving the goal, in order to maximize
the use of valuable data that exists in the
manufacturing field, the Government began tocreate a system to distribute data from factories
across companies in cooperation with production
machinery manufacturers. The Government will
steadily advance necessary measures in the future.

10

Provisional Translation6(as shownin previous
section)In 2020, achieving the size of thedomestic robot production in the
manufacturing area to 1.2 trillion yen
and in the non-manufacturing areas
such as services to 1.2 trillion yen.

Manufacturingsectors: Approx.
900 billion yen(2017)
Nonmanufacturingsectors: Approx.
180 billion yen(2017)B

The market scale of domestic robot production in2013 was approx. 500 billion yen in manufacturingsectors and approx. 50 billion yen in nonmanufacturing sectors with target achievement
period of 7 years. As for the “latest figures,”production in manufacturing sectors hoveredaround 900 billion yen (addition of approx. 180
billion yen from 2016) in 2017 while production in
non-manufacturing sectors was approx. 50 billion
yen; however, costs concerning system integration
are excluded. The non-manufacturing sector islimited to about 180 billion yen in 2017 (compared
to about 40 billion yen in 2016), and theGovernment will need to promote its measuresfurther while continuing to monitor the annual
market growth as it continues to steadily implement
related measures. In future, the Government willneed to promote its measures further while steadily
implementing the “Japan’s Robot Strategy” thatwas decided in February 2015. At the same time,efforts will be required among mid-ranking
companies and SMEs concerning robot
introduction including measures to cut the priceand implementation cost of small-sized, generalpurpose robots by more than 20% and assistanceto accelerate the number of personnel engaged insupporting robot introduction.

11“Statistics on
Robots: Actual
Orders, Productionand Shipment” and“Shipment ofservice robots” by
the Japan Robot
Association(generalincorporated
association)
Total shipment of“ICT-equipped
construction
machinery”(Survey by the
Ministry of
Economy, Tradeand Industry)“Trends in
Industrial
unmanned aircraft
industry” by theJapan UAV
Association(generalincorporated
association)

Ministry of
Economy, Tradeand Industry

Provisional Translation

I.

Focus areas to be tackled in the future toward realization of "Society 5.0" and the"Flagship Project" that drives change, etc.[2], i.e. "nourishment" for economic
activities will change.

Group of measures: Energy, environment
Reference
No.
22

KPI

Latest Figures

KPI Progress

Details of KPI Progress

Source of KPIs

Main Supervising
Ministry/Agency

Increase the number of residential
fuel cells in use (Ene-Farm) to 1.4
million units by 2020 and 5.3
million units in 2030
[Supplementary indicator]

Number of units in
use: 271,540(End of December,
2018)[Supplementary
indicator]

B[Supplementary
indicator]A

The number of units in use increased byapprox. 200,000 from the end of FY2013 to
271,000 as of the end of December 2018.
While the deadline for target achievement is
FY2020 with the target achievement period of
7 years, 5 years and 9 months have elapsed
as of the end of December 2018. The figure islower than 1,210,000 units, which would be
required at this point for KPI achievement.

Survey by the
Ministry of Economy,
Trade and Industry

Ministry of
Economy, Tradeand Industry

Aim to realize by 2020 the pricethat enables users to recover theirinvestment in 7 to 8 years

Number of years forrecovering
investment: 10 years(End of December,
2018)

The sales price, which exceeded 3 million yen
when commercial sales began in 2009,
dropped steadily. The average sales price in
FY2018 (as of the end of December) for
polymer electrolyte fuel cells (PEFC) was
940,000 yen (down 8% from the previous fiscal
year) and that of solid oxide fuel cells (SOFC)
was 1.19 million yen (down 7% from theprevious fiscal year), thanks, in particular, tothe price deduction scheme introduced forsubsidies in FY2016. As a result, the payback
period became 10 years (down 10% from theprevious fiscal year). While the deadline fortarget achievement is FY2020 with the target
achievement period of 6 years, 4 years and 9months have elapsed as of the end of
December 2018. The figure is shorter than
10.3 years, the payback period that would be
required at this point for KPI achievement.

12

Provisional Translation

5

23

Develop hydrogen stations at
about 160 locations by FY2020
and about 320 locations by
FY2025.

103 stations havebeen opened.
(end of March 2019)A

In addition to the 103 stations in operation, 10hydrogen stations are in developing process.
While the deadline for target achievement is
FY2020 with the target achievement period of
5 years, 3 years have elapsed as of the end of
2018. We are making good progress towards
achieving the KPI.
Additionally, a new company involving 11
companies, i.e. Japan H2 Mobility, LLC (JHyM)
was established in February 2018 to expand
the development of hydrogen stations. The
Government has been promoting technologicaldevelopment and regulatory reform with theprivate sector towards reduced
development/operation cost.

Survey by the
Ministry of Economy,
Trade and Industry

Ministry of
Economy, Tradeand Industry

24

Implement the legal separation of
the electric power generation andtransmission sectors, which will be
the final phase of the electricity
system reform, on April 1, 2020―

F

Some operators separated electricity
transmission and distribution businesses in
April 2016.

Webpage of Tokyo
Electric Power
Holdings 5

Ministry of
Economy, Tradeand Industry

http://www.tepco.co.jp/toudenhou/hd/1271995_9039.html

13

Provisional Translation

25

Establish the technology for nextgeneration thermal power
generation step-by-step approachby around FY 2025 based on theTechnology Road Map for NextGeneration Thermal Power
Generation.

[Supplementary indicator]• Aiming for commercialization of
A-USC in the 2020's (generation
efficiency: about 39% at present→ about 46% after
improvement)• Aiming to commercialize IGCC
in the 2020's (generation
efficiency: about 39% at present→ about 46% after
improvement)• Regarding IGFC, first establish
the technology for oxygen-blown
IGCC and CO2 capture
technology (physicalabsorption )by FY2020, then establish the
IGFC technologies by FY2025
and aim to be ready for its
commercialization by the 2030s(generation efficiency: about
39% at present → about 55%
after improvement)• Aim to be ready forcommercialization of 1,700degree class gas turbines byaround FY2020s for LNG-fired
power generation (generation
efficiency: about 53% at present→ about 57% after
improvement)―

F[Supplementary
indicator]
A-USC FThe Government aims to establish thetechnology for next-generation thermal power
generation at an early date based on the“Technology Road Map for Next-Generation
Thermal Power Generation,” which wasformulated by a public-private council in June
2016 to realize high-efficiency thermal power
generation and CO2 reduction.
Regarding Advanced-Ultra Super Critical
thermal power generation (A-USC), the initialtechnological development targets wereachieved as of the end of FY2016, which led topositive technological prospects for commercial
plants.

IGCC F

Regarding Integrated Coal Gasification
Combined Cycle power generation (IGCC), thedesign of commercial plants began in FY2014.

IGFC F

Regarding Integrated Coal Gasification Fuel
Cell Combined Cycle power generation(IGFC), long -term durability test operation ofoxygen-blown IGCC and coal variety
compatibility verification were completed by
October 2018. In addition, installation work of
CO2 capture unit (physical absorption) wasstarted from FY2018.

LNG-firedpower
generation
F

As for LNG thermal power generation, thedevelopment of sophisticated element
technology began in FY2016 to improve thereliability of 1,700-degree class gas turbines.

14―

Ministry of
Economy, Tradeand Industry

Provisional Translation

26

Realize full-scalecommercialization of nextgeneration power electronics using
new materials by 2020－F

As a result of technological development forachieving the KPI, a power semiconductor
module of high withstand voltage using SiC,
which is a new material, was mounted on theconfirmation test vehicle of the next Tokaido
Shinkansen N700S.
Currently, we are developing technology toapply power electronics devices using SiC
power semiconductor modules to automobiles
and the like.
Technological development and demonstration
have also been carried out for GaN, and in
FY2018, we carried out technologicaldevelopment and demonstration of an energysaving microwave oven that can selectively
irradiate the target with microwaves
using GaN semiconductor devices.

27

Expand the share of cutting-edgestorage battery market held byJapanese companies to 500 billion
yen per year (about 50% of the
global market) by 2020

391.2 billion yen(34.2% of the global
market)(2016 figure)A

While this KPI target was set to be achieved by
2020, meaning that it must be achieved within
the next seven years, three years have passed
as of 2016. It exceeds the market acquisition
scale of 351.4 billion yen currently required toachieve KPIs, and confirms that KPIs areprogressing to achieve their targets. The
Government will continue to provide support bystrengthening domestic companies’
competitiveness through technologicaldevelopment of cutting-edge storage batteries
as well as from the perspective of energy
policy.

Survey by privatecompanies

Ministry of
Economy, Tradeand Industry―

N

The Meeting of External Experts in FY2016
confirmed that the KIP is progressing smoothly
overall. Development is under way to cut thecost of installing energy storage for powersystems to 23,000 yen/kWh or lower
by 2020.

Surveyed by the
Ministry of Economy,
Trade and Industry

Ministry of
Economy, Tradeand Industry* The targets are vehicle-mounted
batteries and batteries forelectrical energy storage

28

Cut the cost of energy storage forpower systems by half or lower(23,000 yen/kWh or lower) by
2020.

15

Ministry of
Economy, Tradeand Industry

Provisional Translation

29

Introduce Net Zero Energy Houses(ZEH) and Net Zero Energy
Buildings (ZEB) in newly
constructed average residences
and buildings in 2030
[Supplementary indicator]• Increase the energy-saving
standard applicability ratio to100% among homes newly
constructed in 2020 andincrease the number of Net Zero
Energy Houses (ZEH) so thatmost of the custom-built homes
constructed by housing
manufacturers, etc. are ZEH.
• Increase the energy-saving
standard applicability ratio to100% among buildings newly
constructed in 2020 and build
new public buildings as Net Zero
Energy Buildings (ZEB).

[House]Energy-saving
standard
applicability ratio:
59%(Figures for FY2016:
Estimate) ZEH ratio:
15% (Figures for
FY2017: Estimate)[Non-residentialbuildings]
Energy-saving
standard
applicability ratio:
98%(Figures for FY2016:
Partially Estimate)
Number of ZEB
buildings:
UnaccomplishedN[Supplementary
indicator]
Energy-saving
standard
applicability
ratio: B
ZEH ratio: B[Supplementary
indicator]
Energy-saving
standard
applicability
ratio: A
Number of ZEB
buildings: F

To achieve the KPI, the Government plans tostart by realizing Net Zero Energy as astandard in newly constructed residences andin newly constructed public buildings by 2020.
The energy-saving standard applicability ratio
for residences was 59% in FY2016. While thetarget achievement period is 8 years, 3 years
have elapsed at the point of the “latest figure.”
The figure was lower than 70%, the value thatwould be required as of FY2016 for KPI
achievement. In order to improve the energy
saving performance of houses and buildings, adraft bill was submitted to the ordinary sessionof the Diet "to amend a part of the Act on
Improvement of Energy Consumption
Performance of Buildings" in 2019, which wasintended to add to the target of the Top Runner
System major housing enterprises that supply
custom-built detached houses and rental
apartments, etc.
As for ZEH introduction in residences, there isa steady increase in their number, a move led
by housing manufacturers (ZEH builders/planners) that have declared the introduction of
ZEH plans into most of the houses they supply
by FY2020. ZEH builders constructed a total of
approx. 42,000 residences in FY2017, which isabout 15% of all new housing starts forcustom-built residences (approx. 280,000
houses in FY2017). While the target
achievement period is 8 years, 4 years haveelapsed at the point of the “latest figure.”
Although the figure is lower than 25%, a valuethat would be required as of 2017 for KPI
achievement, the pace of ZEH dissemination is
expected to pick up in the future with theGovernment promoting measures for theautonomous dissemination of ZEH.
The energy-saving standard applicability ratio
for non-residential buildings was 98% in
FY2016. While the target achievement period
is 8 years, 3 years have elapsed at the point of
the “latest figure.” The figure exceeded 96%,
which would be required as of FY2016 for KPI
achievement. In order to improve the energy

16

For energy-saving
standard application
rate in residentialbuildings, estimates
based on the surveyof distribution ofhouses according toinsulation level(collected byquestionnaires tooperators), and forenergy-saving
standard application
rate in nonresidential buildings,
estimates based on
the survey ofapplicable areas in
Type 1 specified
buildings (2,000m2 orlarger)(Survey by the
Housing Bureau,
Ministry of Land,
Infrastructure,
Transport andTourism)

Ministry of
Economy, Tradeand Industry

Provisional Translation

saving performance of houses and buildings, adraft bill was submitted to the ordinary sessionof the Diet "to amend a part of the Act on
Improvement of Energy Consumption
Performance of Buildings" in 2019, which wasintended to expand the range of buildings
subject to the obligation to meet energy saving
standards to medium-sized buildings, etc.
The demonstration of element technologies
has been under way regarding the introductionof ZEB in non-residential buildings. A guideline
to popularize ZEB will be formulated based on
demonstration results. By continuing thesemeasures, the Government aims to have one
or more buildings constructed as ZEB for eachpurpose in newly constructed public buildings
including state-owned buildings by 2020.
30

Double the number of energyefficient renovation cases forexisting homes by 2020

460,000 cases(2017)A

Steady progress has been observed for this
KPI, with an addition of 210,000 cases([Comparison] Average annual rate of increaseat a uniform pace (+320,000 cases/9 years) x
years elapsed (6 years) = +210,000 cases) in 6
years from 2012 to 2017.

“Building Extension
and Renovation
Survey” (twice everyyear) (First andsecond half) by the
Ministry of Land,
Infrastructure,
Transport andTourism.

Ministry of Land,
Infrastructure,
Transport andTourism

31

Increase the usage of LED andother high-efficiency lights to 100%in flow by 2020.

96.1%(FY2017)A

The introduction rate of LED and other highefficiency lights was 96.1% in FY2017. While
the target achievement period is 6 years, 3
years have elapsed at the point of the “latest
figure.” The figure exceeded 88%, which would
be required as of FY2017 for KPI achievement.
Also, the Japan Lighting Manufacturers
Association, an industry association (generalincorporated association), has declared its
vision of seeking to increase the usage of highefficiency lights to 100% in flow by 2020.
Moreover, the Government will further promote
the dissemination of high-efficiency lights
based on the Top-Runner Program under the
Act on the Rational Use of Energy.
Based on these efforts, the achievement of the
KPI by the target fiscal year is deemed
possible.

Statistical data by
the Japan Lighting
Manufacturers
Association (generalincorporated
association)

Ministry of
Economy, Tradeand Industry

17

Provisional Translation

32

Increase the ratio of nextgeneration automobiles to 50-70%
of total new passenger car sales
by 2030.
[Supplementary indicator]• Increase the number of electricvehicles (EV) and plug-in hybrid
vehicles (PHV) in use to up to 1
million by 2020
• Increase the number of fuel cellvehicles (FCV) in use to about
40,000 by 2020 and 800,000 by
2030

36.7%(2017end of the
FY223,000(end of FY2017)
2460(end of FY2017)

A[Supplementary
indicator]
B

B

Following FY 2016, sales of next-generation
vehicles increased in FY2017 (up 5.3% fromthe previous year), and the ratio of nextgeneration vehicles to new vehicle sales was
36.7%.
While the deadline for target achievement is2020 with the target achievement period of 5
years, 2 years have elapsed at the point of the“latest figure.” Assuming that sales volume will
increase linearly in each fiscal year to achieve
KPIs, if 400,000 (EV, PHV) and 16,000 (FCV)
vehicles are required as of the end of 2017,
actual result fell below by 177,000 units (EVand PHV) and 13,540 units (FCV),
respectively.
The Government will continue to support thepartial subsidy schemes for car purchases andfor developing charging infrastructure andhydrogen stations to accelerate the spread ofnext-generation vehicles.

Survey by privateorganizations
including the Japan
Automobile
Manufacturers
Association (generalincorporated
association)

Ministry of
Economy, Tradeand Industry

33

Increase the base metal selfsufficiency ratio to more than 80%

50% (2016)

B

The self-sufficiency ratio of base metal(copper, lead, zinc, tin) was 50% in a 2016
survey. The Government will encourage
autonomous development by Japanesecompanies toward KPI achievement through:(i)Resource diplomacy by the Japanese
government and governmental institutions(JOGMEC, JICA, etc.); and (ii) Support for
securing the interests of Japanese companies(support for exploration and risk money supply
by JOGMEC, etc.).

Survey by JOGMEC

Ministry of
Economy, Tradeand Industry

34

To improve the Japan’s
independent development ratio of
oil and natural gas (including
domestic production) to over 40%
by 2030.

26.6%(FY2017 actual
result)F

In order to increase the voluntary development
ratio to 40% or more in 2030, the Government
will continue to provide support through riskmoney supply through JOGMEC, andmultilateral development of resource
diplomacy.

Surveyed by the
Ministry of Economy,
Trade and Industry

Ministry of
Economy, Tradeand Industry

18

Provisional Translation

35

Create an environment to support
the reinforcement of cross-regional
interconnection based on thereinforcement of frequency
converters (FC) (from 1.2 million
kW to 2.1 million kW) by FY2020
and the Hokkaido-Honshu HVDC
Link (from 600,000 kW to 900,000
kW) towards their operation startby March 2019―F

The expansion of FC will be started in FY2020.
The expansion of the Hokkaido-Honshu
interconnection facility has been started in
March 2019. The Government will continue toimprove the environment to realize KPI.

-

Ministry of
Economy, Tradeand Industry

36

Electric utilities will work towards
the introduction of smart meters inall households and businessoffices in the early 2020s based on
their respective smart meter
introduction plans―

F

High-voltage sector (factories, etc.):
Introduction of smart meters was completed by
FY2016 Low-voltage sector (homes, etc.):
Introduction scheduled to be completed by theend of FY2024―

Ministry of
Economy, Tradeand Industry

19

Provisional Translation

37

Based on the Plan for theDevelopment of Marine Energy
and Mineral Resources, theGovernment develop technologiesof the sand-layer type of methane
hydrate that ensure start of acommercialization project led byprivate sectors in around FY20232027, taking the internationalsituation into account. As forseafloor polymetallic sulfides,, theGovernment will also promotetechnological development andascertain the amount of resources
to enable the commencement ofprojects aimed atcommercialization with theparticipation of private companies
in the latter half of the decade
starting in 2018 and beyond.
[Supplementary indicator]• The Government will prepare
technologies forcommercialization of methane
hydrate by FY2018.
• As for seafloor polymetallic
sulfides , the Government willconduct pilot test of continuously
excavating and ore lifting forseafloor polymetallic sulfides
under the sea area in FY2017
to establish the elemental
excavating and ore lifting
techniques. The Government
will use the results to conduct an
economic viability in FY2018.

―

F[Supplementary
indicator]
Methanehydrate:F[Supplementary
indicator]
Sea-floorhydrothermal
deposits: F

Regarding the sand-layer type of methane
hydrate, the government conducted the second
offshore production test in FY2017, and has
overcome a technical problem caused by the
first offshore production test conducted in 2013by realizing a total of 36 days of gas production
by evacuation method. In addition, in FY2018,
the Government conducted comprehensive
verification based on the results of research sofar, and developed technologies for therealization of commercialization. For seafloor
polymetallic sulfides, the Government
successfully carried out the world’s first pilot
test of continuously excavating and ore lifting
for seafloor polymetallic sulfides under the sea
area in 2017,. In addition, the Government
conducted comprehensive evaluation including
study for economic viability in 2018. According
to the study result, it was evaluated that
economic viability can be achieved in case of acertain hike in metal prices from a long-term
perspective while ensuring economically morevaluable deposits qualitatively andquantitatively, establishing efficient production
technology as well as solving various issues
such as development of future regulations,reconcile conflict with area used by otherindustries and installation of domestic ore
dressing plant (including tailings dam).

20―

Ministry of
Economy, Tradeand Industry

Provisional Translation

38

Rebuild a group of top-classpetrochemical complexes that areinternationally competitive in Asia
in the next 10 years (up to 2023)[Supplementary indicator] Ratio ofcomplexes equipped with residual
oil treatment devices in Japan by
the end of FY2016: Approx. 50%－(The results are
undisclosed since
the data obtained isfor individualcomplexes)

N[Supplementary
indicator]
Ratio of complexes
equipped withresidual oil treatment
devices in Japan:
About 50.5%[Supplementary
indicator]A

A FY2014 survey assessed that theinternational competitiveness of Japanesecomplexes still lags behind that of India,
Singapore, South Korea, China, Taiwan andother countries. The objective is to increase theratio of complexes equipped with residual oil
treatment devices from approx. 45% as ofMarch 31, 2014 (reference point) to approx.
50% in three years’ time by the end of FY2016(target achievement deadline). The standard
shown in the supplementary indicator wasachieved with the value reaching 50.5% as ofMarch 31, 2017 at the point of the “latest
figures.” As a result, the "equipment ratio" ofheavy oil cracking equipment of each company
has reached a high level worldwide.

“Overall evaluation
on international
competitiveness of
petrochemicalcomplexes” by the
Research
Association of
Refinery Integration
for Group-Operation[Supplementary
indicator]
Survey by the
Ministry of Economy,
Trade and Industry

Ministry of
Economy, Tradeand Industry

39

Commercialize offshore floating
wind power generation facilities byaround 2018 for the first time in the
world

―

F

Commercial operation of offshore floating wind
power generation facilities started in FY2016
off the shore of Nagasaki. Empirical researchon floating offshore wind power off Fukushima
Prefecture will continue in FY2019.

―

Ministry of
Economy, Tradeand Industry

40

Capture 70% of the global market
in the volume of geothermal power
generation turbines introduced by
2020

70%

A

The share of Japanese companies was 70% in2017 figures. Continuous efforts will be madein future to maintain and expand market share.

IRENA: Volume
installed in the entire
world
Thermal and Nuclear
Power Engineering
Society (generalincorporated
association): Volume
installed by
Japanese companies

Ministry of
Economy, Tradeand Industry

41

Expand the scale of businesses
engaged in the overseas
deployment of excellent lowcarbon technology through JCM
and other schemes to 1 trillion yen
in cumulative total by FY2020 by
fully utilizing private-sector
initiatives.

About 178.2 billion
yen in a cumulative
total(end of March 2019)A

A total of 166 projects have been implemented
as projects designed to prompt the introductionof low-carbon technology in developing
countries in the form of private-sector
operations (business scale: about 848.2 billionyen). Also, 134 JCM-financed projects havebeen implemented (prospective businessscale: about 230 billion yen).
As of the end of March 2019, the cumulative
KPI target of 1 trillion yen has already been
exceeded.

Survey by the
Ministry of theEnvironment andMinistry of Economy,
Trade and Industry

Ministry of theEnvironment

21

Provisional Translation

42

I.

Double the export value ofincineration equipment, recycling
equipment, etc. of the actual resultin FY2015 by FY2020.

27.8 billion yen(FY2017)A

The target has been achieved, with the export
value increasing to 27.8 billion yen in FY2017
from the actual result in FY2015, 6 billion yen.
The Government will continue its efforts towardtarget achievement.

The Japan Society ofIndustrial Machinery
Manufacturers(generalincorporated
association)"Export value ofenvironmental
equipment by region"

Details of KPI Progress

Source of KPIs

Ministry of theEnvironment

Focus areas to be tackled in the future toward realization of "Society 5.0" and the"Flagship Project" that drives change, etc.[2], i.e. "nourishment" for economic
activities will change.

Group of Measures: FinTech/realization of a cashless society
Reference
No.

6

KPI Progress

Main Supervising
Ministry/Agency

KPI

Latest Figures

43

Aim to introduce open API at over
80 banks within 3 years (by June2020).

124 banks haveannounced that they
will introduce an API
by June 2020.
(end of March 2019)

A

Among the 138 Japanese banks, there are 124
banks scheduled to introduce it by June 2020, so
they are progressing smoothly to achieve the KPItarget.

Financial Services
Agency "On thestatus ofdevelopment ofpolicies related tocoordination andcollaboration withelectronic payment
etc. agents atfinancial institutions"(end of March 2019)

Financial Services
Agency44

The Government aims to double
the cashless payment ratio toaround 40% in the next 10 years(by June 2027).

Cashless settlement
ratio 24.1% (2018)

A

In two years from 2016 (20.0%) to 2018 (24.1%),
the cashless payment ratio increased by 4.1%.
As a result, the ratio needed to achieve the target(about 2% annually, about 4% over 2 years) has
been achieved.

Footnote reference 6

Ministry of
Economy, Tradeand Industry(Credit card payment * 1 + debit card payment * 2 + electronic money * 3) / (private final consumption expenditure * 4)
* 1 Survey of the Japan Consumer Credit Association, * 2 Report of the Bank of Japan, * 3 Bank of Japan "electronic money count",* 4 Cabinet Office "Annual Report on National Accounts" (nominal value, secondary flash value)

22

Provisional Translation

7

45

In the next 5 years (through June2022), the Government aims toincrease the proportion of SMEs
that streamline back office
operations (finance, accounting,etc.) by using cloud services etc.
while supporting IT conversion by
about 4 times the current ratio toapproximately 40%.

13.9%
(2017)B

The proportion of SMEs that streamline backoffice operations (finance, accounting, etc.) by
utilizing cloud services etc. while supporting IT
conversion is 10.8% as the reference value at thetime of KPI setting (2016), but in 2017, it was
13.9%, and the increase (approximately 5% peryear) needed to achieve the 2022 target (about40%) could not be achieved.

Ministry of Internal
Affairs andCommunications"Investigation ofcommunication use
trend in 2017"

Ministry of
Economy, Tradeand Industry

46

Aim for a 5% improvement inJapan's supply chain cash flow
efficiency (supply chain cash
conversion cycle: SCCC) by 2020.

158 days (FY2017)

A

The reference value of SCCC's KPI setting(FY2016) is 160 days, and that for FY2017 is 158
days, shortening the number of days required toachieve the target value of FY 2020 (152 days)(2 days per year).
Target value for FY2020: 160 (FY2016) x 0.95
(improved by 5%) = 152

Nikkei NEEDS
Financial QUEST 7

Ministry of
Economy, Tradeand Industry

Average value of TSE listed companies (excluding banking, securities and commodity futures trading, insurance, other financial business, and others)

23

Provisional Translation

I.

Focus areas to be tackled in the future toward realization of "Society 5.0" and the"Flagship Project" that drives change, etc.[3], i.e. "administration" and "infrastructure"
will change.

Group of measures: Realization of a digital government (productivity revolution fromadministration)
Reference
No.

KPI

Latest Figures

KPI Progress

Details of KPI Progress

Source of KPIs

Main Supervising
Ministry/Agency

47

In the World Bank's "Ease of
Doing Business Index," Japan will
be ranked a top-three amongdeveloped countries by 2020.

25th(2019)

B

This KPI target was set to achieve by 2020,
meaning that it must be achieved within the next
seven years. Five and a half years have passed
as of 2017. In 2019, it was ranked 25th (lower by
one than the last year). Unfortunately, it is hard to
say that the KPI is steadily improving toward theachievement of its target. The Government will
require further promotion of policy measures.
Various measures for improving the businessenvironment in Japan are being taken, such as todrive online/one-stop incorporation procedures,and the use of IT for judiciary proceedings, etc. In
the future, the achievement of this KPI target will
be pursued through the promotion of themeasures for improving the businessenvironment in Japan, in which relevant
coordinating ministries and agencies will pinpoint
each of the items organized by the "Liaison
Committee of Ministries and Agencies for
Improving the Business Environment."

World Bank, "Doing
Business 2019"

CabinetSecretariat(Japan's
Economic
Revitalization
General Bureau)

48

Reduce administrative procedure
costs in priority areas by 20% ormore by March 2020.

－

N

The cost reduction effect of efforts based on the“Basic Plan for Reducing Administrative
Procedure Costs” revised in March 2018 is
expected to be 22.2%, while a summary is now
being prepared on the progress of KPI as costmeasurement results to formulate a report by the
beginning of FY2018.

"To reduce
administrative
procedure costs"(April 24, 2018,
Administrative
Procedure
Subcommittee of theJapan Regulatory
Reform Promotion
Council)Cabinet Office(Regulation
Reform Promotion
Office)24

Provisional Translation

49

Reduce the number ofgovernmental information systems
by 725 by transferring them onto a
cloud platform or other measuresby the end of FY2018

Number of systems
reduced: 731(March 2019)

A

As for the number of government information
systems, 731 systems (50.4%) were reduced
from the FY2012 level
and the target was achieved.

"About theenhancement ofcentralized project
management at eachstage of thegovernment
information systemfrom budget request
to execution"(June 4, 2019,decision of theDigital Government
Ministerial Meeting)CabinetSecretariat(National Strategy
Office ofInformation andCommunications
Technology)

50

Reduce the operational cost (*) ofgovernmental information systems
by transferring them onto a cloud
platform or other measures byapprox. 120 billion yen by FY2021(*confined to operational costs
pertaining to government
information systems in operation
as of FY2013).

Reduction in
operational cost:
Approx.50 billion yen(FY2017)

B

Reductions in operation cost from FY2013
totaled approx. 50 billion yen (FY2017).
Reductions currently projected by the end of
FY2021, the target achievement period, total
115.5 billion yen.

"About theenhancement ofcentralized project
management at eachstage of thegovernment
information systemfrom budget request
to execution"(June 4, 2019,decision of theDigital Government
Ministerial Meeting)CabinetSecretariat(National Strategy
Office ofInformation andCommunications
Technology)51

By 2020, Japan will be ranked a
top-three in the World Economic
Forum's Global Competitiveness
Report.

5th(2018)A

The target achievement time is 2020, and thetarget achievement period is 4 years. As of 2018,
the ranking is 5th (up by 3 compared to lastyear), and it is thought that KPI is progressing toachieve the target. The achievement of KPItarget will be pursued through the accelerated
implementation of Japan's National Innovation
Eco-System.

World
competitivenessranking of the World
Economic Forum,"WEF The Global
Competitiveness
Report2018"

CabinetSecretariat(Japan's
Economic
Revitalization
General Bureau)25

Provisional Translation

52

Aim to increase the number ofregions utilizing innovative big dataprocessing technologies such as
AI and RPA to 300 by the end of
the FY2020.

(Reference)
79 (end of March
2018)

N

In "Regional IoT Implementation Survey" (theend of March 2018), the Ministry of Internal
Affairs and Communications conducted the firstsurvey on use cases of innovative big dataprocessing technology, and 79 groups indicatedthat they had use cases. It is difficult to assess
the progress of KPIs at this point because it isplanned that the preliminary figures at the end of
March of the same year will be obtained in June
2019. In the future, the Government will evaluate
as soon as the data are obtained.

Ministry of Internal
Affairs andCommunications"Regional IoT
Implementation
Survey" (end of
March 2018)

Ministry of Internal
Affairs andCommunications

53

As regards the data publishedaccording to the needs of theprivate sector based on publicprivate round table discussions,
100% will be provided as a fileformat suitable for machinereading during intensive work
period up to 2020.

It cannot becalculated at present

N

The Government held an open data publicprivate round table and listened to the needs ofthe private sector. Based on the public-private
round table discussion, the Government isworking on the release of target data, and will
evaluate as soon as the data is released.

7th Open Data
Working Group (heldon March 15, 2019),
Reference Material 1

CabinetSecretariat(National Strategy
Office ofInformation andCommunications
Technology)

54

Increase the ratio of work on open
data in the government and local
authorities to 100% by FY2020.

26% (as of March
11, 2019)

B

The Government implemented various support
programs for the promotion of open data efforts
in local public organizations, such as thedevelopment of "guidelines and guides forpromotion of open data for local publicorganizations" and the provision of "open data
packages for local public organizations", and thenumber of local authorities using open data has
steadily increased (140 local authorities
increased in FY2018). In the future, further
promotion of measures will be required toachieve the target.

Government CIO
Portal (List of Local
Authorities Working
on Open Data)

CabinetSecretariat(National Strategy
Office ofInformation andCommunications
Technology)

26

Provisional Translation

I.

Focus areas to be tackled in the future toward realization of "Society 5.0" and the"Flagship Project" that drives change, etc.[3], i.e. "administration" and "infrastructure"
will change.

Group of measures: Advancement of infrastructure management including constructionof a next-generation infrastructure maintenance system
Reference
No.

KPI

Latest Figures

KPI Progress

Details of KPI Progress

Source of KPIs

Main Supervising
Ministry/Agency

55

Aim for a 20% improvement inconstruction site productivity by
FY2025.

―F

For ICT earthworks, which has been promoted asa top runner measure for i-Construction since
FY2016, the Government has confirmed a time
reduction effect of 32.9% * (*For implementationin 2018 (January 31, 2019)).
The Government has targeted increased
application of ICT to all processes including
bridge, tunnel, dam construction andmaintenance by FY2019, to foundation
construction and block installation in port
construction in FY2020, and revise various
manuals and guides in FY2021 to aim to further
improve productivity. At the same time, theGovernment will study the effects on productivity
improvement and the process for achieving KPI.

Survey by the
Ministry of Land,
Infrastructure,
Transport andTourism

Ministry of Land,
Infrastructure,
Transport andTourism56

By around 2020, increase thepercentage of facility managers
who have introduced newtechnologies such as robots andsensors that satisfy a certain levelof technology in operations suchas inspection and diagnosis ofimportant infrastructure/aging
infrastructure in Japan to 100% by
2030.

―

N

The Government is investigating the results of
FY2018 that will be necessary for the evaluation
of KPI progress, and will announced it by this fall
In order to achieve the goal of the percentage offacility managers introducing new technologies
etc., the Government will continue to promotetechnological development with public andprivate sectors and speedy development oftechnical standards.

Survey by the
Ministry of Land,
Infrastructure,
Transport andTourism

Ministry of Land,
Infrastructure,
Transport andTourism

57

Have Tokyo rank within the top
three cities of the Global PowerCity Index by 2020.

3rd(2018)A

Tokyo has achieved 3rd place in comprehensive
urban power ranking in 2016, and continues to
be at 3rd place in 2018, following 2016 and 2017.

Mori Memorial
Foundation, "Global
Power City Index
2018"

CabinetSecretariat(Japan's
Economic
Revitalization
General Bureau)27

Provisional Translation

58

Expand the size of the distribution
market for existing homes to 8
trillion yen by 2025 (4 trillion yen in
2010)*Aim to achieve the target by 2020
as much as possible.

4 trillion yen(2013)B

The size of the distribution market for existinghomes remained almost unchanged between
2010 and 2013. Since the pace of market
expansion needs to be accelerated to achieve
the target, the Government has been
implementing measures including theestablishment of special measures for purchaseand resale (April 2014-March 2020 for theregistration and license tax; April 2015-March
2021 for the real estate acquisition tax), loans forthe acquisition cost of second-hand homes under
Flat 35 scheme of the Japan Housing FinanceAgency (from April 20, 2015), and “Housing
Security R,” a registration system for tradeassociations (from December 2017). While suchinitiatives are expected to yield result, theGovernment will need to step up its measures toachieve the target.

Housing Market
Trends Survey(annual), Housing
and Land Survey(every 5 years)

Ministry of Land,
Infrastructure,
Transport andTourism

59

Double the renovation market
scale to 12 trillion yen by 2025 (6trillion yen in 2010). *As possibleby 2020

7 trillion yen(2013)B

The size of the house renovation market was 7
trillion yen in the latest figure in 2013 (addition of
approx. 1 trillion yen from 2010). Since the paceof market expansion needs to be accelerated toachieve the target, the Government has been
implementing measures including the loans forlong-term excellent housing renovation promotion
project (February 2014-), housing renovation
business group registration system (September
2014-), and for the acquisition cost of secondhand homes under Flat 35 scheme of the Japan
Housing Finance Agency (from April 20, 2015).
While such initiatives are expected to yield result,the Government will need to step up its
measures to achieve the target.

Housing and Land
Survey (every 5
years), Housing
Market Trends
Survey (annual),
Report on Family
Income andExpenditure Survey(annual), Population,
demographic
movements, and thenumber ofhouseholds basedon the Basic
Resident Register(annual), Survey onawareness andopinions aboutreforms (annual)

Ministry of Land,
Infrastructure.
Transport andTourism28

Provisional Translation

60

I.

The proportion of houses forsenior citizens among the elderly
population [0.9% (2005) 3-5%
(2020)]

2.4%(2017)B

The proportion of houses for senior citizens
among the elderly population in FY2017 was
2.4%. As it is necessary to promote the supply of
housing for elderly people to achieve the goal,
the Government is implementing measures suchas assistance to the construction cost of housing
for elderly people with service, and special tax
measures. While such initiatives are expected toyield result, the Government will need to step up
its measures to achieve the target.

• Elderly population:“Population
Estimate” by the
Ministry of Internal
Affairs andCommunications• Housing for seniorcitizens: “Survey
on Social Welfare
Facilities” (annual)by the Ministry of
Health, Labourand Welfare,survey by the
Ministry of Land,
Infrastructure,
Transport andTourism (asneeded) andsurvey by the
Ministry of Health,Labour andWelfare (annual)

Details of KPI Progress

Source of KPIs

Since there are large-scale concession projects
including the specific airport operations of KansaiInternational Airport and Osaka International
Airport, the KPI is progressing at a pace fasterthan the proportion of the transitional period tothe target achievement period.

Data from Cabinet
OfficeMinistry of Land,
Infrastructure,
Transport andTourism

Future priority areas to tackle and “Flagship Project” as the leading power of reform
toward achieving “Society 5.0” - [3] Changes in “Government” and “Infrastructure”

Policy Group: Accelerated introduction of PPP/PFI approach
Reference
No.
61

KPI

Latest Figures

Expand the scale of PPP/PFI
projects to 21 trillion yen in thenext ten years (FY2013 toFY2022). Out of 21 trillion, PFI
projects using the concession
system of public facilities, etc. istargeted at 7 trillion yen.

Scale of Projects:
approx. 13.8 trillion
yen
Of the above figure,projects using theconcession systemof public facilities,
etc.: Approx. 5.7
trillion yen (FY2013
to FY2017).

KPI ProgressA

29

Main Supervising
Ministry/Agency
Cabinet Office(PPP/PFI
Promotion Office)Provisional Translation

I.

Future priority areas to tackle and “Flagship Project” as the leading power of reform
toward achieving “Society 5.0” - [4] Changes in “Regions,” “Communities,” and“SMEs”

Policy Group: Overall reform and smartification of agriculture, forestry and fisheryindustries
Reference
No.

KPI

Latest Figures

62* Increase the number ofincorporated management
entities by about four times fromthe 2010 level to 50,000 in thenext ten years (by 2023).

22,700 corporations(February 2018)63* Increase the ratio of farmland
used by business farmers to
80% in the next ten years (by2023).

56.2%(End of FY2018)KPI Progress

Main Supervising
Ministry/Agency

Details of KPI Progress

Source of KPIs

B

While the deadline for target achievement is2023 with the target achievement period of ten
years, five years have elapsed at the point of the“latest figure.” Although the number ofincorporated management entities increased
from 14,600 (February 2013) to 22,700 (February2018), it would be preferable to have this figure
increased to 32,300 to achieve the target. The
progress is insufficient, and the Government willneed to further promote the policy measures.

“Census of
Agriculture andForestry,” “Survey on
Movement ofAgricultural
Structure” by the
Ministry ofAgriculture, Forestry
and Fisheries

Ministry ofAgriculture,
Forestry and
Fisheries

B

While the deadline for target achievement is2023 with the target achievement period of ten
years, five years have elapsed at the point of the“latest figure.” Although the ratio of concentrationof farmland on business farmers rose from 48.7%(at the end of FY2013) to 56.2% (at the end of
FY2018), it would be preferable to have thisfigure increased to 64.4% at the point of the“latest figure” to achieve the target. The progress
is insufficient, and the Government will need tofurther promote the policy measures.

“Statistics on
Cultivated Land andPlanted Area” by the
Ministry ofAgriculture, Forestry
and Fisheries, andsurvey by the
Agricultural Land
Policy Planning
Division ofManagement
Improvement
Bureau, Ministry ofAgriculture, Forestry
and Fisheries

Ministry ofAgriculture,
Forestry and
Fisheries

30

Provisional Translation

8

9

64

* Reduce the cost of riceproduction by business farmers
by 40% in the next ten years (by2023) compared with thenational average in 2011 byreflecting the efforts of theindustry in materials, distribution
and other areas.

Management by
individual farms 8:
10,995 yen/60kg(2017)
Management byincorporatedorganizations 9:
11,859 yen/60kg)(2017)B

While the deadline for target achievement is2023 with the target achievement period of ten
years, four years have elapsed at the point of the“latest figure.” The cost of rice production bybusiness farms in 2017 was 10,995 yen/60kg forindividual farms and 11,859 yen/60kg for farming
by incorporated organizations.
Although the cost of rice production in 2011 wasabout 30% lower than the national average of
16,001 yen/60kg, it would be preferable to havethis figure lowered to 10,664 yen/60kg for
management by individual farms and 10,999
yen/60kg for management by incorporatedorganizations at the point of the “latest figure” toachieve the target. The progress is insufficient,and the Government will need to further promote
the policy measures.

“Agricultural
production cost,”“Production cost of
rice and wheat
varieties,” and“Analytical survey on
management ofincorporated
management
entities” by the
Ministry ofAgriculture, Forestry
and Fisheries

Ministry ofAgriculture,
Forestry and
Fisheries

65* Increase the productivity of feed
rice production by business
farmers to twice the national
average in 2013 in the next ten
years (by 2025) through cost
reduction and increase in yield
per unit size of farmland (cutfarmers’ production cost per
60kg of rice by around 50%).

10,400 yen /60kg(2017)B

While the deadline for target achievement is2025 with the target achievement period of ten
years, two years have elapsed at the point of the“latest figure.” The cost of feed rice production bybusiness farmers in 2017 was 10,400 yen/60kg.
Although the cost of rice production in FY2013
was about 30% lower than the national averageof 15,229 yen/60kg, it would be preferable tohave this figure lowered to 9,915 yen/60kg at the
point of the “latest figure” o achieve the target.
The progress is insufficient, and the Government
will need to further promote the policy measures.

“Agricultural
production cost” and“Production cost of
rice and wheat
varieties” by the
Ministry ofAgriculture, Forestry
and Fisheries

Ministry ofAgriculture,
Forestry and
Fisheries

Among certified farmers, individual management entities (with rice paddy acreage of 15ha or more), whose farming income from rice paddy cultivation per one farmer is equivalent tothat from other industry.
Incorporated management entities (with rice paddy acreage of 22ha on average) whose sales income from rice paddy cultivation is largest compared to that from other types offarming.

31

Provisional Translation

66* Expand the market size of theso-called AFFrinnovation to 10
trillion yen in FY 2020.

7.1 trillion yen(FY2017)

B

While the deadline for target achievement is
FY2020 with a target achievement period ofseven years starting with FY2013 in which themarket size range of the AFFrinnovation was
reviewed, four years have passed at the point of
the “latest figure”. Although the market size of the
AFFrinnovation expanded to 7.1 trillion yen(FY2017) from 4.7 trillion yen (FY2013), it would
be preferable to have this figure increased to 7.7
trillion yen at the point of the “latest figure” toachieve the target. The progress is insufficient,and the Government will need to further promote
the policy measures.

“Comprehensive
Survey of the
AFFrinnovation” by
the Ministry ofAgriculture, Forestry
and Fisheries

Ministry ofAgriculture,
Forestry and
Fisheries

67* Increase the number of dairy
farms engaged in the sixth
sector industrialization to 500 by
2020.

461 cases(End of April, 2018)

A

While the deadline for target achievement is2020 with a target achievement period of six
years, four years have passed at the point of the“latest figure.” The number of dairy farms
engaged in the sixth sector industrialization
increased from 236 (2014) to 461 (end of April,
2018), exceeding the prorated KPI target of 412
at this point.

Survey by the
Ministry ofAgriculture, Forestry
and Fisheries andthe Japan Dairy
Council

Ministry ofAgriculture,
Forestry and
Fisheries

68

Ensure that almost all of business
farmers will utilize data in theirfarming flow by 2025.

―

N

To evaluate the KPI progress, Census of
Agriculture and Forestry with improved survey
items and other policies will be used from 2020.

“Census of
Agriculture andForestry” by the
Ministry ofAgriculture, Forestry
and Fisheries

Ministry ofAgriculture,
Forestry and
Fisheries

69* Realize an unmanned automatic
traveling system by remotemonitoring for movement
between fields by 2020.

―

F

The R&D targeted on the realization of theunmanned automatic traveling system of farmmachinery by remote monitoring is being
conducted under the “Strategic Innovation
Promotion Program (SIP).”
Also, the “Guideline on the Security Assurance ofAutomatic Traveling of Farm Machinery” wasformulated in March 2017 toward thecommercialization of farm machinery that travels
automatically under manned monitoring. Multiple
farm machinery manufacturers have started
commercial sales or test marketing.

―

Ministry ofAgriculture,
Forestry and
Fisheries

32

Provisional Translation

70

Achieve the export value ofagricultural, forestry and fisheryproducts and foods, 1 trillion yen in2019 and reach the 5 trillion-yen
mark by 2030.

906.8 billion yen(2018)B

While the deadline for target achievement is2019 with a target achievement period of sevenyears, six years have passed at the point of the“latest figure.” Although the export value ofagricultural, forestry and fishery products andfoods increased from 449.7 billion yen (2012) to906.8 billion yen (2018), particularly with anincrease of 99.7 billion yen in a single year from2017 to 2018, it would be preferable to have thisfigure increased to 921.4 billion yen at the pointof the “latest figure” to achieve the target whenevaluating the progress based on the proportionof the transitional period to the target
achievement period. Therefore, the Government
will need to further promote the policy measures.

Ministry of Finance,"Trade Statistics"

Ministry ofAgriculture,
Forestry and
Fisheries

71

Double the added values offorestry and wood industries
originated from privately-owned
artificial forests by 2028.

―

N

While the deadline for target achievement is2028 with a target achievement period of 11
years, it is difficult to evaluate the progress at thisstage because the 2018 actual figures that are
essential for evaluation of KPI progress will be
determined in around March 2020.

“Input-Output
Tables” by the
Minister of Internal
Affairs andCommunications,“Wood Demand andSupply Chart,”“Statistical Survey on
Lumber” by the
Ministry ofAgriculture, Forestry
and Fisheries

Ministry ofAgriculture,
Forestry and
Fisheries

33

Provisional Translation

I.

Future priority areas to tackle and “Flagship Project” as the leading power of reform
toward achieving “Society 5.0” - [4] Changes in “Regions,” “Communities,” and“SMEs”

Policy Group: Realization of smart cities through town development, public
transportation, and ICT
Reference
No.
72

73

KPI

Latest Figures

Main Supervising
Ministry/Agency

KPI Progress

Details of KPI Progress

Source of KPIs

Regarding advancement of local alert systems, it
is difficult to evaluate the progress at this point.
Through the field tests performed in 2018, theGovernment plans to formula standard
specifications necessary for mapping of local
alert information to add to the prefectural disasterprevention information systems and promote thewidespread use of the systems from the next
fiscal year.
Regarding the geospatial disaster prevention
information system, good progress is reported;
The “Regional IoT Implementation Survey”
conducted by the Minister of Internal Affairs andCommunications (end of March 2017) received
the answer of “There are one or more use cases”
from 45 organizations, and the same survey
conducted at the end of March 2018 received thesame answer from 72 organizations.

Ministry of Internal
Affairs andCommunications,“Regional IoT
Implementation
Survey”(End of March, 2018)

Ministry of Internal
Affairs andCommunications

The “Regional IoT Implementation Survey”
conducted by the Minister of Internal Affairs andCommunications (end of March 2017) received
the answer of “Already implementing efforts” from
128 organizations, and the same survey
conducted at the end of March 2018 received thesame answer from 272 organizations.

Ministry of Internal
Affairs andCommunications,“Regional IoT
Implementation
Survey”(End of March, 2018)

Ministry of Internal
Affairs andCommunications

Introduce the advanced local alert
system to 15 prefectures andgeospatial disaster prevention
information system to 100 local
governments by the end of
FY2020 to improve regional
disaster prevention.

Prefectures:

Local alert: N

Local governments:
72(End of March,
2018)

Geospatial
disasterprevention
information
system:A

Create efforts utilizing IoT familiar
to living in 800 local governments
by the end of FY2020.

272 (End of March,
2018)

B

34

Provisional Translation

I.

Future priority areas to tackle and “Flagship Project” as the leading power of reform
toward achieving “Society 5.0” - [4] Changes in “Regions,” “Communities,” and“SMEs”

Policy Group: Further strengthen the productivity revolution of SMEs and microbusinesses
Reference
No.

KPI

Latest Figures

74

Aim for 2.0% growth in the laborproductivity of service industry by
2020.

0.18%
(Average growthrate between 2015
and 2017)

75

Aim to promote introduction of IT
tools to approximately 1 million
firms, equivalent to about 30% of
all SMEs and micro businesses inthe three years to 2020.

-

Details of KPI Progress

Source of KPIs

Main Supervising
Ministry/Agency

B

The growth rate reached approx. 0.18% in three
years between 2015 and 2017. This points to theneed to further promote the policy measures fortarget achievement. In future, the Government
will steadily promote the necessary policy
measures including IT utilization in SMEs,
service industries and the development of humanresources who support IT utilization, as well as
strengthened collaboration with related
ministries, agencies and industrial organizations.

Cabinet Office, "National Accounts ofJapan"

Ministry of
Economy, Tradeand Industry

N

While the deadline for target achievement is2020 with a target achievement period of three
years, it is difficult to evaluate the progress at thisstage because the 2018 actual figures that are
essential for evaluation of KPI progress is being
confirmed.
Since not only government assistance but also
an expanded support system by private sectors
is necessary to achieve the productivity
revolution, this KPI target was set.
In future, toward the achievement of this KPItarget, the Government will steadily promote thenecessary policy measures including indirect
support through certified information processingorganizations as well as government’s direct
support such as IT introduction Subsidies.

Data of Ministry of
Economy, Trade andIndustry

Ministry of
Economy, Tradeand Industry

KPI Progress

35

Provisional Translation

76

Increase profiting SMEs and microbusinesses from 700,000 firms to
1.4 million firms.

954,546 enterprises(FY2016)B

The actual figure in FY2016 was about 954,546.
It is lower than the FY2016 value of 1,050,000 by
about 100,000, a value based on a calculation of
linear increase over the target achievement
period (eight years). This points to the need tofurther promote the policy measures for target
achievement. The Government will continue to
steadily increase the number of profiting SMEs
and micro enterprises through Subsidy for
Manufacturing and Service of SMEs, IT
introduction Subsidies, support based on the Act
on Enhancement of Management of Small andMedium Enterprises and a system to reduce
fixed asset tax (zero to 1/2) based on the Act on
Special Measures for Productivity Improvement.

“Corporation Sample
Survey” by the
National Tax Agency

Ministry of
Economy, Tradeand Industry

77

Aim to achieve start-up rates
exceeding cut-off rates and makethem comparable to US / UK level(10% range).
[Supplementary indicator]
Double the Entrepreneurial Activity
Index (Ratio of those that chosethe answer, “have started businessor plan to start business” in the“Survey on Entrepreneurship”) in
the next ten years.

Rate ofestablishment: 5.6%,
Rate of exit: 3.5%
(FY2017)N[Supplement
ary indicator]
B“Annual Report on
Employment
Insurance Programs”
and “Monthly Reporton Employment
Insurance Programs”
by the Ministry of
Health, Labour andWelfareMinistry of
Economy, Tradeand Industry[Supplementary
indicator]
4.7%(FY2017)

The rate of establishment and exit were 4.6%
and 3.8% in FY2012 and 5.6% and 3.5% in
FY2017, respectively. To achieve these KPIs,changes in the awareness of the public onbusiness startups will be required in addition tomeasures by the Government. Since this will bea long-term target, the Entrepreneurial Activity
Index was established as a supplementary
indicator with a view on the next ten years. In a
FY2017 survey, the supplementary indicator was
4.7%, which is below a required value (4.9%) to
double the result of FY2014 survey (3.8%) by the
FY2024 survey. The Government will continue toexamine improvements in entrepreneurial spirit
and take measures for achieving the target for
rate of establishment and exit shown in thisindicator.

Make the holding ratio of overseas
subsidiaries of SMEs 1.5 times
compared to 2015 by 2023.

1.03 times(2016)

While the deadline for target achievement is2023 with a target achievement period of six
years, it is difficult to evaluate the progress at thisstage because the 2018 actual figures that are
essential for evaluation of KPI progress will be
determined in around July 2020.

Small and Medium
Enterprise Agency, "Basic Survey on
Small and Medium
Enterprises "

78

N

36

[Supplementary
indicator]“Survey on
Entrepreneurship” by
the Ministry of
Economy, Trade andIndustry
Ministry of
Economy, Tradeand Industry

Provisional Translation

79

I.

Support for leading technology
development projects that utilize
local technology, establishing a
consortium based on industrygovernment-academia-financecollaboration, with a target ofaround 200 each year for 1,000
projects in five years.Establish

207 cases(FY2016)282 cases(FY2017)270 cases(FY2018)

A

The number of supported projects were 207 in
FY2016, 282 in FY2017, and 270 in FY2018.

Survey by the
Ministry of Economy,
Trade and Industry
and Ministry of
Education, Culture,
Sports, Science andTechnology

Ministry of
Economy, Tradeand Industry

Future priority areas to tackle and “Flagship Project” as the leading power of reform
toward achieving “Society 5.0” - [4] Changes in “Regions,” “Communities,” and“SMEs”

Policy Group: Tourism, sports and culture/art
Reference
No.
80

KPI

Latest Figures

Increase the number ofinternational visitors to Japan to 40
million in 2020 and 60 million in
2030.

28,691,073 persons(final figure for2017),
31,191,856 persons(provisional figurefor 2018)

KPI Progress
B

Details of KPI Progress
While the deadline for target achievement is2020 with a target achievement period of five
years, three years have passed at the point of
the “latest figure.”
Regarding the number of internationa visitors toJapan in 2018, the growth rate declined in
September due to the series of natural disasters
but recovered later through various measures theGovernment took. The number reached the 30
million level toward the end of the year and finallytotaled 31.19 million, although it was below 31.90
million, a figure that would be required in 2018 toachieve the KPIi for 2018.
The Government will continue to steadily
increase the number of international visitors up to
40 million, a target for 2020, by improving
receptive environment such as multilingual
support, free Wi-Fi, etc. and developing new
tourism contents.

37

Source of KPIs

Main Supervising
Ministry/Agency

Japan National
Tourism
Organization,“Statistics on the
Number of visitor
arrivals”

Ministry of Land,
Infrastructure,
Transport andTourism(Japan Tourism
Agency)Provisional Translation

81

Increase the amount ofconsumption by international
visitors to Japan to 8 trillion yen in2020 and 15 trillion yen in 2030.

4.4162 trillion yen(final figure for2017),B

While the deadline for target achievement is2020 with a target achievement period of five
years, three years have passed at the point of
the “latest figure.”
The amount of consumption by international
visitors to Japan steadily increased to 4.5189
trillion yen in 2018 (*), but it was lower than
6.1908 trillion yen, a figure that would be requiredin 2018 to achieve the KPI.
(*) The previous surveys focused on travelers
using airports. However, in light of a rapid
increase of cruise visitors to Japan who tend tostay for a short time, these visitors have also
been included as targets and reflected in thesurvey result since 2018. The amount ofconsumption by international visitors to Japan in2018 estimated based on previous surveys is 4.8
trillion yen.
The Government will continue to steadily
increase the amount of consumption byinternational visitors to Japan up to 8 trillion yen,a target for 2020, by improving receptive
environment such as multilingual support, free
Wi-Fi, etc. and developing new tourism contents.

“International Visitor
Survey” by the Japan
Tourism Agency

Ministry of Land,
Infrastructure,
Transport andTourism (Japan
Tourism Agency)

B

While the deadline for target achievement is2020 with a target achievement period of five
years, three years have passed at the point of
the “latest figure.” The total number ofinternational visitor spending nights in rural areasof Japan steadily increased to 36.36 million in
2018, but it was lower than 52.06 million, a figurethat would be required in 2018 to achieve the
KPI.
The Government will continue to encourage
visitors to travel to rural areas and increase theirconsumptions to achieve 70 million guest nights,
a target for 2020, by improving receptive
environment such as multilingual support, free
Wi-Fi, etc. and developing new tourism contents.

“Overnight Travel
Statistics Survey” by
the Japan Tourism
AgencyMinistry of Land,
Infrastructure,
Transport andTourism (Japan
Tourism Agency)

4.5189 trillion yen(final figure for 2018)82

Increase the total number ofinternational visitor spendingnights in rural areas of Japan to 70
million in 2020 and 130 million in
2030.

32.66 million (final
figure for 2017),
36.36 million(provisional figurefor 2018)

38

Provisional Translation

83

Increase the number of repeat
visitors from other countries to 24
million in 2020 and 36 million in
2030.

17.61 million(final figure for2017),
19.38 million(final figure for 2018)

A

While the deadline for target achievement is2020 with a target achievement period of five
years, three years have passed at the point of
the “latest figure.”
The total number of international return visitors in2018 reached 19.38 million, which exceeded therate of increase for achievement of KPI(19.04
million) of ‘’24 million in 2020’’“International Visitor
Survey” by the Japan
Tourism Agency and“Statistics on the
Number of visitor
arrivals” by theJapan National
Tourism
Organization

Ministry of Land,
Infrastructure,
Transport andTourism(Japan Tourism
Agency)84

Increase the total amount ofconsumption by Japanese
domestic travelers to 21 trillion yen
in 2020 and 22 trillion yen in 2030.

21.1 trillion yen(final figure for2017),
20.5 trillion yen(final figure for 2018)

B

While the deadline for target achievement is“National Tourism
2020 with a target achievement period of five
Survey” by the
years, three years have passed at the point of
the “latest figure.” The amount of consumption by Japan Tourism
Japanese domestic travelers totaled 20.5 trillion Agency
in 2018, falling below 20.8 trillion yen, a figure“Survey of Trends inthat would be required in 2018 to achieve the KPI Travel and Tourism
or the prorated KPI target for 2018.
Consumption” by theJapan Tourism
The Government will continue to promote
Agencydomestic tourism to achieve 21 trillion yen, atarget for 2020, by developing tourism contents
that also appeal to Japanese and considering the
popularization of a new style of tourism with amixture of business and sightseeing.

Ministry of Land,
Infrastructure,
Transport andTourism(Japan Tourism
Agency)85

Increase the number of tax-free
shops in rural areas from approx.
6,600 (April 2015) to the scale of
20,000 in 2018.

18,096 shops(October 2018)

A

While the deadline for target achievement is2018 with a target achievement period of four
years, three years and six months have passed
at the point of the “latest figure.”
The number of tax-free shops in rural areas
reached 18,096 in October 2018, which largely
reached the rate of increase for achievement of
KPI(18,319 shops ) of 20,000 shops in 2018.

Tabulation by the
National Tax Agency

Ministry of Land,
Infrastructure,
Transport andTourism(Japan Tourism
Agency)86

Establish Japan’s position as theNo. 1 country in Asia for hosting
international conferences by 2030.

1st in Asia
* 7th in the world

A

Continuing from 2016, the number ofinternational conferences hosted in Japan was
the 1st in Asia in 2017.

“ICCA Statistics
Report” by ICCA
(International
Congress andConvention
Association)

Ministry of Land,
Infrastructure,
Transport andTourism(Japan Tourism
Agency)Number ofinternational
conferences hosted
in Japan: 414(2017)

39

Provisional Translation

87

Expand the size of the sports
market to 10 trillion yen by 2020
and 15 trillion yen by 2025.

5.5 trillion yen(2015)N

A group headed by the Development Bank ofJapan has examined the methods to calculate
the sports market scale in an internationallycomparable and stable manner by reference toEurope’s previous cases and just decided thatthe size of sports market is estimated using the“Input-Output Tables.” Then, an evaluation will bemade as soon as the “latest figure” is madeavailable.

Compiled by the
Ministry of
Education, Culture,
Sports, Science andTechnology basedon a survey by theDevelopment Bankof Japan

Ministry of
Education,
Culture, Sports,
Science andTechnology

88

Establish 20 stadiums and arenas
across Japan between 2017 and2025 as interaction bases where
diversified generations get
together.

―N

The Government will immediately develop criteria
for selecting stadiums and arenas as KPI targets
based on opinions from relevant ministries andagencies, external experts, etc. After that,certification is conducted.

Data from Ministry of
Education, Culture,
Sports, Science andTechnology

Ministry of
Education,
Culture, Sports,
Science andTechnology

89

Increase the rate of adults
participating in sports once a weekor more from 40.4% in 2015 toabout 65% by 2021.

55.1%(FY2018 survey)

A

The rate of adults participating in sports once aweek or more increased to 55.1% in FY2018
from 40.4% in FY2015.
The progress has been adequate; The rate ishigher than 52.7%, a value based on a simple
calculation of increase over six years from 2015
to 2021 toward achieving the 65% target. Further
promotion of policy measures is necessary fortarget achievement. The Government will steadily
implement measures targeted mainly at children,
businesspersons, senior citizens, women, andhandicapped persons, based on an action planfor increasing the sports participation rate of
citizens (formulated in September 2018). For
example, the use of public-private partnerships tocreate an environment in which businesspersons
can take part casually in exercise and sports.

“Public Opinion
Survey on the Tokyo
2020 Olympic andParalympic Games”(FY2015) and “Public
Opinion on
Participation inSports,etc.”(FY2018)

Ministry of
Education,
Culture, Sports,
Science andTechnology

40

Provisional Translation

90

Expand the culture-related GDP to
18 trillion yen (approx. 3% of GDP)by 2025.

8.9 trillion yen(2016)B

The figure for 2016 (preliminary) was 8.9 trillion
yen. To achieve the target, the Government will
strengthen collaboration with tourism, town
development, international exchange, welfare,education, industry, and other related areas aswell as further support culture/art activities
through which added values are created.
Regarding the economic size of culture/art
industry (so-called cultural GDP), UNESCO(United Nations Educational, Scientific andCultural Organization) is currently establishinginternational indicators of culture's economic
value. While actively participating in discussion ofthis international framework, the Government willreconsider KPI including target values.

FY2016 preliminary
figures based on“Survey andresearch on theeconomic scale andeconomic ripple
effects of cultureindustry” (NLI
Research Institute),
a projectcommissioned by the
Agency for Cultural
Affairs in FY2015

Ministry of
Education,
Culture, Sports,
Science andTechnology

91

Increase the proportion of citizens
engaged in the appreciation ofculture/art to approx. 80% andthose engaged in culture/art
activities other than appreciation toapprox. 40% by 2020.

Proportion of
citizens engaged inappreciation ofculture/art: 59.2%

N

According to the “Public opinion survey on
culture” in FY2016, the proportion of citizens
engaged in appreciation of culture/art was 59.2%
and the proportion of people engaged inculture/art activities other than appreciation was
28.1%.
The Government will further promote policy
measures aiming to realize a society in which all
people take part in culture/art activities, forinstance by advancing cultural programs
including “Japan expo” taking the coming Tokyo
Olympic and Paralympic Games as anopportunity.

“Public opinion
survey on culture”(Cabinet Office,November 2016)

Ministry of
Education,
Culture, Sports,
Science andTechnology

Proportion of
citizens engaged inculture/art activities
other thanappreciation: 28.1%

41

Provisional Translation

II. Establishing the foundation for structural innovation of economy - [1] Common
infrastructure building for data-driven society
Policy Group: Promotion of investment for infrastructure system/technology
Reference
No.

KPI

Latest Figures

KPI Progress

Details of KPI Progress

Source of KPIs

Main Supervising
Ministry/Agency

92

Create 30 cases of introducing
data sharing acrossindustries/operators by FY2020.

25 cases (End of
March, 2019)

A

Regarding the specified innovative use of datafor industrial activities based on the Act on
Special Measures for Productivity Improvement,
the establishment of required systems wascompleted by the end of July 2018, and thecreation of approved business will be
continuously promoted. 25 cases of collecting
and sharing data collaboratively among multiple
enterprises were created using the subsidy for
project to promote industrial data sharing.
Through these efforts, the cases of sharing data
across industries/operators are steadily
expanding.

The number ofenterprises that
adopt the specified
innovative use ofdata for industrial
activities based on
the Act on Special
Measures for
Productivity
Improvement anddata sharing acrossindustries/operators
created by the
Ministry of Economy,
Trade and Industry

Ministry of
Economy, Tradeand Industry

93

Increase the number of Registered
Information Security Specialists tomore than 30,000 by 2020.

17,360 persons(As of October 1,
2018)

A

The Information-technology Promotion Agency(IPA) has performed the registration ofInformation Security Specialists biannually sinceApril in 2017. The number of registrations in
October 2018 was 8,214, and the total has
reached 17,360, showing good progress.

Tabulated by IPA

Ministry of
Economy, Tradeand Industry

94

Seek to maintain the current top
position in terms of broadband
charges (charges per unit speed)
among OECD member countries.

No. 1(September 2014)

A

The current top position was maintained in acomparison of broadband charges (charges perunit speed) among OECD member countries inOECD Digital Economy Outlook 2015 released inJuly 2015.

OECD Digital
Economy Outlook
2015

Ministry of Internal
Affairs andCommunications

95

Provide Wi-Fi environment at
approximately 30,000 disasterprevention facilities and otherplaces such as evacuation sites
and centers, sightseeing guidecenters, museums, culturalproperties, and natural parks by
FY2019.

Places where Wi-Fienvironment has
been completed:
Approx. 24,000 (Asof October 1, 2018)

B

The number of places where Wi-Fi environmenthas been completed was about 21,000 as of
October 1, 2017 and then increased up to about
24,000 as of October 1, 2018. To achieve thetarget, further development of Wi-Fi environment
will be needed based on “Wi-Fi Environment
Development Plan for Disaster Prevention, etc.”

Ministry of Internal
Affairs andCommunications,“Wi-Fi Environment
Development Plan
for Disaster
Prevention, etc.”(December 2018)

Ministry of Internal
Affairs andCommunications

42

Provisional Translation

II. Establishing the foundation for structural innovation of economy - [1] Common
infrastructure building for data-driven society
Policy Group: Development and optimal utilization of human resources responding to the
AI eraReference
No.

KPI

Latest Figures

KPI Progress

Details of KPI Progress

Source of KPIs

Main Supervising
Ministry/Agency

96

Achieve 500,000 examinees of
new IT passport examination by
FY2023.

N

N

This target has been newly set as KPI since
FY2018. The design of the examination system
has been completed in FY2018 for the firstexamination in FY2019.

Data of Ministry of
Economy, Trade andIndustry

Ministry of
Economy, Tradeand Industry

97

Double the number of university
students, etc. studying abroadfrom 60,000 to 120,000.

55,969(2016)B

While the deadline for target achievement is2020 with the target achievement period of six
years, three years have elapsed at the point of
the “latest figure.” Although the number ofuniversity students, etc. studying abroadincreased from 55,946 to 55,969, the prorated
KPI target of 83,000 at this point has not beenachieved. While also considering the number ofuniversity students, etc. who are enrolled inJapanese universities, etc. and study abroad fora short time (69,869 in FY2013 -> 105,301 in2017) according to the survey conducted by
Japan Student Services Organization, the policy
measures need to be promoted further.

Number of Japanesestudying abroad(Survey by the
Ministry of
Education, Culture,
Sports, Science andTechnology)

Ministry of
Education,
Culture, Sports,
Science andTechnology

98

Increase the percentage ofteachers capable of teaching inclass using IT devices to 100% by
2020.

76.6%
(2017)B

While the deadline for target achievement is2020 with the target achievement period of six
years, three years have elapsed at the point of
the “latest figure.” Although the percentage ofthese teachers increased from 71.4% to 76.6%,
the prorated KPI target of 85.7% at this point has
not been achieved. The policy measures need to
be promoted further.

Ministry of
Education, Culture,
Sports, Science andTechnology, "Survey
about ICT in
Education at
Schools"

Ministry of
Education,
Culture, Sports,
Science andTechnology

99

Increase the percentage of regularclassrooms with wireless LAN to
100% by FY2020.

38.3% (FY2017)

B

While the deadline for target achievement is
FY2020 with the target achievement period of six
years, three years have elapsed at the point of
the “latest figure.” Although the percentage ofthese classrooms with LAN environment
increased from 27.2% to 38.3%, the prorated KPItarget of 63.6% at this point has not beenachieved. The policy measures need to bepromoted further.

Ministry of
Education, Culture,
Sports, Science andTechnology, "Survey
about ICT in
Education at
Schools"

Ministry of
Education,
Culture, Sports,
Science andTechnology

43

Provisional Translation

100

Set up personal computers (PC)for learning corresponding to thesize of a class every three classes
by FY2020.

(Reference:
FY2017)
One PC per 5.6
childrenN

This target has been newly set as KPI since
FY2018. While the number of the PCs installed
increased from one per 5.9 children to one per
5.6 children, the progress is not good. The policy
measures need to be promoted further.

Ministry of
Education, Culture,
Sports, Science andTechnology, "Survey
about ICT in
Education at
Schools"

Ministry of
Education,
Culture, Sports,
Science andTechnology

101

Increase the percentage ofprefectures, cities, towns andvillages formulating development
plans for IT environment to 100%by FY2020.

73.9% (FY2017)

A

While the deadline for target achievement is
FY2020 with the target achievement period of six
years, three years have elapsed at the point of
the “latest figure.” The percentage of prefectures,cities, towns and villages formulating
development plans for IT environment
significantly increased from 38.3% to 73.9%,
already exceeding the prorated KPI target of 66%
at this point.

Data from Ministry of
Education, Culture,
Sports, Science andTechnology

Ministry of
Education,
Culture, Sports,
Science andTechnology

102

Improve the English-language
skills of English teachers(Percentage of English teacherswith CEFR Level B2 or higher:
28% to 50% for junior high, 52% to
75% for senior high) by 2020.

Junior high
36.2%、
Senior high
68.2% (as ofDecember 2018)

B

While the deadline for target achievement is2020 with the target achievement period of sevenyears, five years have elapsed at the point of the“latest figure.” The percentage of English
teachers with required English-language skills
increased from 33.6% to 36.2% for junior highand 65.4% to 68.2% for senior high over theprevious year. The former falls below theprorated KPI target of 43.7% at this point, andthe latter has almost achieved that value of
68.4%. In particular, the policy measures forjunior high school teachers need to be promoted
further.

Data from Ministry of
Education, Culture,
Sports, Science andTechnology "Survey
on English Language
Education”

Ministry of
Education,
Culture, Sports,
Science andTechnology

103

Increase the percentage ofstudents with CEFR level A1 orhigher at the time of graduationfrom junior high or level A2 orhigher at the time of graduationfrom senior high to 50% or higher
by FY2022.

At time of junior highgraduation: 42.6%,
At time of seniorhigh graduation:
40.2% (as ofDecember, 2018)

B

While the deadline for target achievement is2022 with a target achievement period of five
years, a year has passed at the point of the“latest figure.” The percentage of students withrequired English-language skills increased from
40.7% to 42.6% at the time of graduation fromjunior high and 39.3% to 40.2% at the time ofgraduation from senior high over the previous
year. The former has achieved the prorated KPItarget of 42.6% at this point, and the latter falls
below that value of 41.4%. In particular, thepolicy measures for senior high school students
need to be promoted further.

Data from Ministry of
Education, Culture,
Sports, Science andTechnology "Survey
on English Language
Education”

Ministry of
Education,
Culture, Sports,
Science andTechnology

44

Provisional Translation

10

104

Increase the number ofInternational Baccalaureate
accredited schools, etc. to 200 or
more by FY2020.

Number ofInternational
Baccalaureate
accredited schools,
etc.: 138
(Including nominatedschools, March,
2019)

B

While the deadline for target achievement is2020 with the target achievement period of sevenyears, five years have elapsed at the point of the“latest figure.” Although the number of accredited
schools increased from 54 to 138, additional 62
schools will be required to achieve the KPI by thedeadline year, FY2020. The policy measuresneed to be promoted further. After 2018, aconsortium will be established as part ofenvironment development that plays a core rolein the development and promotion ofInternational Baccalaureate (IB) in Japan. The
Government will further promote support for IB
introduction and management of the schools
defined in Article 1 of the School Education Act.

Data from Ministry of
Education, Culture,
Sports, Science andTechnology

Ministry of
Education,
Culture, Sports,
Science andTechnology

105

Increase the number of courses
certified as the Fourth Industrial
Revolution Skill Acquisition
Courses to 100 by FY2020.

(Reference: April
2019)
54 courses

NThis target has been newly set as KPI since
FY2018. The number of the courses certified
increased from 23 in April 2018 to 54 in April
2019, achieving the prorated KPI target value atthis point.

Data of Ministry of
Economy, Trade andIndustry

Ministry of
Economy, Tradeand Industry

106

Double the number of the courses
accredited as “Brush up Programfor professional (BP)” related to AI
field, etc. by FY2023.

(Reference: April
2019)
10 courses

NThis target has been newly set as KPI since
FY2018. The number of the courses accredited
increased by three from seven in FY2017,
showing good progress.
Additional 4 courses will be accredited as BPfrom October 1, 2019, achieving the target.

Data from Ministry of
Education, Culture,
Sports, Science andTechnology

Ministry of
Education,
Culture, Sports,
Science andTechnology

107

Increase the number of adults whotake courses at universities,
vocational schools, etc. to one
million by FY2022.

Approximately
500,000(2016)B

While the deadline for target achievement is2022 with the target achievement period of sevenyears, a year has elapsed at the point of the“latest figure.” Although the number of adults whotake courses at universities, vocational schools,
etc. increased from approx. 460,000 10 to approx.
500,000, the prorated KPI target of approx.
540,000 at this point has not been achieved. In
view of the discussions at “Council for Designing
100-Year Life Society” etc., the Government has
improved concrete policy measures including
new development/enhancement of programs for
adults since last year. The policy measures need
to be promoted further to reflect the effects.

Ministry of
Education, Culture,
Sports, Science andTechnology, "School
Basic Survey,""Improvements in
Junior College
Education," "Reformof Educational
Content atUniversities," Data of
MEXT (private seniorhigh school surveys)

Ministry of
Education,
Culture, Sports,
Science andTechnology

The figure at the time of formulation of the "Future Investment Strategy 2018" was approx. 490,000 persons. After that, the figure for 2015 recalculated based on the final figure was approx. 460,000.

45

Provisional Translation

108

By 2022, increase the number ofcourses eligible to receive thespecialized practical education andtraining benefits to 5,000.

3,275 courses (as ofApril 2019)

B

While the deadline for target achievement is2022 with a target achievement period of five
years, two years have passed at the point of the“latest figure.” Although the number of courses
eligible for the benefits increased from 2,417 to
3,275, the prorated KPI target of 3,450 at thispoint has not been achieved. The criteria fordesignating as courses eligible to receive thespecialized practical education and training
benefits were reviewed in FY2018, and thedesignated range has expanded from thecourses starting in April 2019. The Government
will need to promote further policy measures toachieve the target.

Data of Ministry of
Health, Labour andWelfareMinistry of Health,Labour andWelfare109

By 2020, increase the percentageof women of directors in listedcompanies to 10%.

(Reference) 4.1%
(2018)N

This target has been newly set as KPI since
FY2018. Since the “latest figure” of thepercentage of women of directors in listedcompanies is as of July 2018, it is difficult toevaluate the progress at this point.

Toyo Keizai Inc.,“Yakuin Shikiho”(Corporate
Executives Quarterly
Handbook)

Cabinet Office(Gender Equality
Bureau)110

By 2020, increase the percentageof women of managers orequivalent in private companies to15%.

(Reference) 11.2%(2018)N

This target has been newly set as KPI since
FY2018. Since the “latest figure” of thepercentage of women of managers or equivalent
in private companies is as of June 2018, it isdifficult to evaluate the progress at this point.

Ministry of Health,Labour and Welfare,"Basic Survey on
Wage Structure"

Ministry of Health,Labour andWelfare111

By 2020, increase the employment
rate of women aged 25 to 44 to
77%.

76.5% (2018)

A

While the deadline for target achievement is2020 with a target achievement period of eight
years, six years have passed at the point of the“latest figure.” The employment rate of women
increased from 68% to 76.5%, achieving theprorated KPI target of 74.8% at this point.

Ministry of Internal
Affairs andCommunications,"Labor Force Survey"

Ministry of Health,Labour andWelfare112

By 2020, increase the rate ofcontinued employment of women
before/after the first childbirth to55%.

53.1% (2015)

A

The “latest figure” shows that the achievement of
this KPI target is steadily progressing.

National Institute ofPopulation andSocial Security
Research, "Annual
Population andSocial Security
Surveys"

Ministry of Health,Labour andWelfare46

Provisional Translation

113

Provide nursery schools for
320,000 children by the end of
FY2020.

-NThis target has been newly set as KPI since
FY2018. Since the “latest figure” of the number ofrequired nursery schools is as of April 2018(2.944 million), it is difficult to evaluate theprogress at this point.

Ministry of Health,Labour and Welfare,"Counting Results ofPlan for Accelerated
Elimination ofChildren on
Childcare Waiting
Lists" (September 7,
2018)

Ministry of Health,Labour andWelfare114

Provide after-school childcare
centers for approx. 300,000
children by the end of FY2018 andthose for another 300,000 children
by the end of FY2023.

297,914 children (asof May 1, 2018)

A

The number of enrolled children increased by
297,914 from 936,452 (the first year: FY2014) to
1,234,366 (as of May 1, 2018), achieving thetarget of “provide after-school childcare centers
for approx. 300,000 children by the end of
FY2018.”

Ministry of Health,Labour and Welfare,"Status of theProgram for Sound
Upbringing ofChildren after School(after-school
childcare centers)"

Ministry of Health,Labour andWelfare115

By 2020, increase the rate of men
taking childcare leave to 13%.

5.14% (2017)

B

While the deadline for target achievement is2020 with a target achievement period of nine
years, six years have passed at the point of the“latest figure.” Although the rate of men taking
childcare leave increased from 2.63% to 5.14%,
the prorated KPI target of 9.54% at this point has
not been achieved. The policy measures need to
be promoted further.

Ministry of Health,Labour and Welfare,"Basic Survey ofGender Equality in
Employment
Management"

Ministry of Health,Labour andWelfare116

By 2020, increase the rate of men
taking family care leave afterchildbirth to 80%.

55.9% (2016)

B

This KPI target was set to achieve by 2020, andthe remaining time after the “latest figure” is four
years. To achieve the target, the KPI should be
increased by an average of about 6% per year in2016 and afterward. The policy measures need
to be promoted further.

Commissioned
surveys andresearch (Cabinet
Office)Cabinet Office(Council forChildren and Childrearing)117

By 2020, increase the employment
rate of people aged 60 to 64 to
67%.

68.8% (2018)

A

While the deadline for target achievement is2020 with a target achievement period of eight
years, six years have passed at the point of the“latest figure.” The employment rate of people
aged 60 to 64 increased from 57.7% to 68.8%,
already achieving the KPI target.

Ministry of Internal
Affairs andCommunications,"Labor Force Survey"

Ministry of Health,Labour andWelfare47

Provisional Translation

118

By 2022, increase the effective
employment rate of people withdisabilities to 2.3%.

2.05% (As of June 1,
2018)

A

Although this KPI was set to “2.0% by 2020” in
the "Japan Revitalization Strategy 2013," it wasrevised to “By 2022, increase the effective
employment rate of people with disabilities to2.3%” in the "Future Investment Strategy 2018"
along with an increase in mandatory employment
rate from April 2018. The prorated KPI targets for2018 and onwards were also revised.
While the deadline for target achievement is2022 with the target achievement period of five
years, the effective employment rate of people
with disabilities at the point of the “latest figure” is
2.05%, achieving 2.04%, or the prorated KPItarget for 2018.

Ministry of Health,Labour and Welfare,"Report on
Employment of
Persons with
Disabilities"

Ministry of Health,Labour andWelfare119

By the end of FY2020, reduce thepercentage of involuntary nonregular employees to 10% or less.

12.8% (2018)

B

While the deadline for target achievement is theend of FY2020 with a target achievement periodof six years, four years have passed at the pointof the “latest figure.” Although the percentage of
involuntary non-regular employees decreased
from 18.1% to 12.8%, it is higher than theprorated KPI target of 12.7% at this point. The
policy measures need to be promoted further.

Ministry of Internal
Affairs andCommunications,"Labor Force Survey"

Ministry of Health,Labour andWelfare120

By 2020, decrease the ratio of
hired persons who changed jobs to
9.0%.

8.6%
(2017)B

While the deadline for target achievement is2020 with a target achievement period of sevenyears, four years have passed at the point of the“latest figure.” Although the rate of job changes(among general workers excluding part-timeworkers) decreased from 8.7% to 8.6%, theprorated KPI target of 8.9% at this point has notbeen achieved. The policy measures need to bepromoted further.

Ministry of Health,Labour and Welfare,"Survey on
Employment Trends"

Ministry of Health,Labour andWelfare121

By 2020, increase the employment
rate of people aged 20 to 64 to
81%.

81.8% (2018)

A

While the deadline for target achievement is2020 with a target achievement period of eight
years, six years have passed at the point of the“latest figure.” The employment rate of people
aged 20 to 64 increased from 75.2% to 81.8%,
already achieving the KPI target.

Ministry of Internal
Affairs andCommunications,"Labor Force Survey"

Ministry of Health,Labour andWelfare122

By 2020, increase the employment
rate of people aged 20 to 34 to
79%.

80.5% (2018)

A

While the deadline for target achievement is2020 with a target achievement period of eight
years, six years have passed at the point of the“latest figure.” The employment rate of people
aged 20 to 34 increased from 74.4% to 80.5%,
already achieving the KPI target.

Ministry of Internal
Affairs andCommunications,"Labor Force Survey"

Ministry of Health,Labour andWelfare48

Provisional Translation

11

123

By 2020, triple the percentage ofenterprises that have introduced
telework as compared to FY2012(11.5%).

19.1% (2018)

B

This target has been newly set as KPI since
FY2018. While the deadline for target
achievement is 2020 with a target achievement
period of eight years, six years have passed at
the point of the “latest figure.” Although thepercentage of enterprises that have introduced
telework increased from 11.5% to 19.1%, theprorated KPI target of 28.8% at this point has notbeen achieved. The policy measures need to bepromoted further.

Ministry of Internal
Affairs andCommunications,"Communications
Usage Trend
Survey"Ministry of Internal
Affairs andCommunications(Ministry of Health,Labour andWelfare)124

The number of foreign students’
acceptance will be doubled from
140,000 to 300,000 by 2020

208,901 persons 11(as of May 1, 2018)

B

While the time frame given to achieve this KPItarget is from 2013 to 2020, five years haveelapsed at the point of the “latest figure.”
Although the number of foreign students studying
at higher educational institutions in Japan
increased from 135,519 to 208,901 (an increaseof approximately 73,000), the prorated KPI target
at this point (approximately 117,000) has notbeen achieved. In the meantime, the number offoreign students currently studying at Japanese
language schools for learning Japanese before
entering higher educational institutions in Japan
is 90,079. If this number is added, the number offoreign students comes to 298,980.
To increase the number of foreign students
accepted by higher educational institutions, theGovernment will disseminate the attractivenessof studying in Japan to foreign students in acomprehensive way and support various efforts
made by universities to enhance scholarshipprograms and promote employment of foreign
students. As well as making studying in Japan
more attractive, the Government will implement
comprehensive measures, e.g. intensive support
to universities that are promotinginternationalization thoroughly, to achieve thisKPI target.

Japan Student
Services
Organization,"Survey on
International
Students in Japan"

Ministry of
Education,
Culture, Sports,
Science andTechnology

The number of foreign students studying at universities (incl. graduate schools), junior colleges, technical colleges, vocational schools (specialist course), and under preparatory education curriculums

49

Provisional Translation

125

Aim to recognize of 10,000 highlyskilled foreign professionals by theend of 2020 and recognize
20,000 highly-skilled foreign
professionals by the end of 2022.

15,386 persons(December 2018)

A

The KPI target of certified 10,000 highly- skilled
foreign professionals was set to achieve by theend of 2020. However, the number of certified
professionals reached 15,386 by the end of
December 2018, achieving the target ahead ofschedule. The Government continues to aim torecognize 20,000 highly-skilled foreign
professionals by the end of 2022.

Ministry of JusticesurveyMinistry of
Economy, Tradeand Industry

II. Establishing the foundation for structural innovation of economy - [1] Common
infrastructure building for data-driven society
Policy Group: University reform producing innovation and industry-academia-government
collaboration / venture support
Reference
No.

KPI

Latest Figures

126

Aim for at least ten universities inJapan ranked among the world’s
top 100 universities in the next ten
years (ending in FY2023).

THE1 12: 2
THE2 13: 5
QS 14: 5
Shanghai Jiao Tong
University 15: 3

127

Increase the number of patent
licensing by universities by 50% by
the end of FY2020.

15,798 cases 16(FY2017)KPI Progress

Details of KPI Progress

Source of KPIs

B

None of the targets of these global university
rankings have reached their prorated levels at
this point. The achievement of these KPI targets
will be further pursued in the future.

Refer to thefootnoted information(ranking etc.) in therespective “Latest
Figure” columns.

Ministry of
Education,
Culture, Sports,
Science andTechnology

A

Regarding the number of patent licensing byuniversities, the KPI target by the end of FY2020
is 14,784, a 50% increase from the actual figure
in FY2013 of 9,856. The actual figure in FY2017
was 15,798 cases, already achieving the KPItarget.

Ministry of
Education, Culture,
Sports, Science andTechnology,"Progress of
Universities, etc. in
Implementing
Industry-University
Cooperation"

Ministry of
Education,
Culture, Sports,
Science andTechnology

12Main Supervising
Ministry/Agency

Times Higher Education "World University Rankings 2019"
Times Higher Education "World Reputation Rankings 2018"14
QuacquareIIi Symonds Ltd "WorId University Rankings 2019"15"Academic Ranking of World Universities 2018"16
The number of patents, etc., licensed by universities, etc. (national, public and private universities, including junior colleges) , national, public and private technical colleges, and inter-university research
institutes (patent licensing or patent assignments including those in the phase of "Right to Receive Patents")
13

50

Provisional Translation

128

Increase the number of
researchers migrating between
different sectors in Japan by 20%
by the end of FY2020.

The current numberof researchers
migrating between
different sectors inJapan: 10,506(FY2017)

B

According to a survey conducted by the Ministryof Internal Affairs and Communications, theactual figure in FY2013 was 10,150, and theactual figure in FY2017 exceeded that of FY2016
by 117, falling short of the prorated KPI target of
11,310 at this point.

Ministry of Internal
Affairs andCommunications,"Survey Results of
Scientific andTechnologicalResearch"

Cabinet Office(Director Generalfor Science,
Technology andInnovation Policy)

129

Increase the percentage of theexpense allocation needed foreach university to drive its strategic
reforms for functional enhancement(including reforms during thereform acceleration period in
FY2013–FY2015) and the resulting
operational subsidies, etc., toaround 40% through the period of
the 3rd medium-term objectives
and plans of national university
corporations (FY2016–FY2021).

38.2% (This figure
is FY2017 actual.
The percentage ofthe expense
allocation and theresulting operational
subsidies, etc., were
calculated by the
Ministry of
Education, Culture,
Sports, Science andTechnology.)A

The figure in FY2017 is 38.2%, steadily
increasing to the target of around 40%. The
achievement of this KPI will be pursued further
through the period of the 3rd medium-term
objectives and plans.

Calculations by
Ministry of
Education, Culture,
Sports, Science andTechnology

Ministry of
Education,
Culture, Sports,
Science andTechnology

130

Triple the investment inuniversities, national research anddevelopment agencies, etc. fromprivate-sector companies by 2025.

136.1 billion yen(FY2017 actual)

B

Although the actual figure in FY2017 increased
to 136.1 billion from 124.4 billion in FY2016, theprorated KPI target of 179.9 billion at this point
has not been achieved. The achievement of thisKPI target will be pursued in the future throughfurther promotion of new research anddevelopment support methods and open
innovations, which encourages private researchand development investment.

Ministry of Internal
Affairs andCommunications,"Survey Results of
Scientific andTechnologicalResearch"

CabinetSecretariat(Japan's
Economic
Revitalization
General Bureau)51

Provisional Translation

131

Increase the number of full-time
university teachers under the ageof 40 by 10% by the end of
FY2020.

43,153(FY2016)

B

This KPI is a numerical target assigned to all ofnational, public and private universities andstipulated in the "5th Science and Technology
Basic Plan" decided at a Cabinet meeting inJanuary 2016. This target is based on thecorresponding figure for FY2013 (43,763). In
FY2016, the number of such teachers decreased
by 610 from FY2013, falling short of the prorated
target at this point. The achievement of this KPItarget will be pursued in the future through the"Leading Initiative for Excellent Young
Researchers," in which excellent, young
researchers are encouraged to play importantroles in stable, independent posts, and throughthe promotion of personnel management andsalary system reforms at national universities(annual salary systems, cross-appointment
systems, etc.) and reflection of their progress inoperational subsidies (set as common index).

Ministry of
Education, Culture,
Sports, Science andTechnology,“Statistical survey onschool teachers”

Ministry of
Education,
Culture, Sports,
Science andTechnology

132

Increase the percentage ofinvestments in research anddevelopment for both thegovernment and private sectors to
4% or more of GDP by FY2020.

3.48% (FY2017
actual)B

The actual research and development
investment in FY2017 increased by 0.05% from
FY2016. The achievement of this KPI target will
be pursued in the future through the steady
implementation of science, technology andinnovation policies according to the “5th Scienceand Technology Basic Plan,” “Integrated
Innovation Strategy,” etc. and through theembodiment of the "Initiative for Expanded
Government/Private Investment in Science andTechnology" formulated in December 2016.

Ministry of Internal
Affairs andCommunications,"Survey Results of
Scientific andTechnologicalResearch"

Cabinet Office(Director Generalfor Science,
Technology andInnovation Policy)

52

Provisional Translation

133

Double the number of large
collaborative research programs
between private-sector companies
and universities/research anddevelopment agencies by the endof FY2020.

Number of large
collaborative
research programswith universities
etc. 17: 1,052(FY2017)A

The actual figures in FY2013 were 600 for
universities and 90 for research anddevelopment agencies. After the "Progress of
Universities, etc. in Implementing IndustryUniversity Cooperation (FY2017)" was publishedin February 2019, the number of large
collaborative research programs between
universities etc. and private-sector companies
increased by 134 from FY2016.
On the other hand, according to a survey
conducted by the Cabinet Office in FY2017, thetotal number of large collaborative research
programs between research and development
agencies and private-sector companies in
FY2016 is 233.

1) Ministry of
Education, Culture,
Sports, Science andTechnology,"Progress of
Universities, etc. in
Implementing
Industry-University
Cooperation"2) Cabinet Office,"Survey on Scienceand Technology
Related Activities by
Incorporated
Administrative
Agencies, etc."

Cabinet Office(Director Generalfor Science,
Technology andInnovation Policy)

Number of large
collaborative
research programswith research anddevelopment
agencies 18: 233(FY2016)134

Create 20 unlisted venturecompanies (unicorn) with company
value or market capitalizations of 1
billion dollars or more or listed
venture companies by 2023.

―

N

It is especially difficult to calculate the value of
unlisted companies and there are different
survey results. The Government will continue todiscuss the selection of appropriate methods andsources.
[Reference value]• Number of unlisted venture companies: 2(Data from “Japan Startup Finance Report
2018,” as of February 2019)• Number of listed venture companies: 5 (Datafrom Cabinet Office, as of April 2019)

To be calculated by
Ministry of
Education, Culture,
Sports, Science andTechnology

Cabinet Office(Director Generalfor Science,
Technology andInnovation Policy)

135

Double the ratio of the amount of
capital investment to venturecompanies to the nominal GDP by2022.

0.030% (theaverage of three
years from 2015 to
2017)

B

The current KPI is below the prorated target of
0.0358% (three-year average) at this point. The
KPI for 2017 (single year) increased 0.013 point
to 0.036% compared to that of 2014. The
achievement of this KPI target will continue to be
pursued by promoting the building of venture
ecosystem.

Cabinet Office,"National Economic
Accounting" VentureEnterprise Center,"VEC YEARBOOK"

Ministry of
Economy, Tradeand Industry

17

The number of large collaboration research programs (worth ten million yen or more) between private-sector companies and universities, etc. (national, public and private universities including juniorcolleges, national, public and private technical colleges, and inter-university research institutes)
18
The number of large collaboration research programs (worth ten million yen or more) between private-sector companies and research and development agencies

53

Provisional Translation

II. Establishing Foundations for Economic Structure Innovations [1] Sharedinfrastructure development for a data-operated type society
Policy group/Intellectual property/Standardization strategies
Reference
No.

KPI

Latest Figures

KPI Progress

Details of KPI Progress

Source of KPIs

Main Supervising
Ministry/Agency

136

Increase the ratio of patentapplications submitted by SMEs toapprox. 15% by FY2019

15% (2017)

A

The figure reached 15% in 2017, from 12% in
2013, 13% in 2014, 14% in 2015 and 15% in
2016, indicating a steady progress overall.

Survey by the Japan
Patent Office

Ministry of
Economy, Tradeand Industry

137

Increase the number of interview
examination cases in rural areas
per year to 1,000 by FY2020

836 farms (January
31, 2018)

A

On-site interview examinations are held
throughout the year in response to requests byapplicants.
Starting in FY2015, the Government has beenworking to disseminate and implement off-site
interview examinations at “traveling patentoffices,” which were started by the Patent Officein FY2015 as an intellectual property support
event, and to implement off-site interview
examinations at the “INPIT-KANSAI office,”
which opened in Osaka in July 2017. The results
have been favorable.
While the deadline for target achievement is
FY2020 with the target achievement period of 6
years, 4 years have elapsed at the point of “latest
figure.” The figure exceeded approx. 810, which
would be required as of FY2018 for KPI
achievement.

Survey by the Japan
Patent Office

Ministry of
Economy, Tradeand Industry

138

By the end of FY2020, the numberof Japan’s secretariat positions atinternational standardization
organizations will be increased tomore than 100.

101 cases(The end of 2017)A

Goal values for FY2020 have already beensurpassed as of the end of 2017, and efforts will
be made to maintain this standard.

Data of the Ministryof Economy, Tradeand Industry

Ministry of
Economy, Tradeand Industry

54

Provisional Translation

139

Standardize 100 excellent
technologies and products of midranking companies, SMEs andother businesses by 2020

19 cases(FY2018 actual)

B

The figure was tabulated from the number of
specifications standardized by SMEs and midranking companies using the “New Market
Creation Standardization System.”
At present, the cases approved forstandardization by the Japanese Industrial
Standards Committee comprise 37 JIS cases,
two ISO cases and one IEC case. 19 of thecases have already been established as JIS
standards as of FY2018.
The Government will continue to further explore
new cases and enhance awareness of the
program to increase the number ofstandardization cases while steadily promoting
the standardization of cases in the preestablishment stages.

Data of the Ministryof Economy, Tradeand Industry

Ministry of
Economy, Tradeand Industry

140

In the next ten years (ending in2023), the time required for theacquisition of right will be halved toan average of 14 months.

An average of 14.1
months(FY2017)A

The time required for the acquisition of right was
14.6 months in FY2016, and shortened to 14.1
months in FY2017, indicating a steady progress
overall.

Survey by the Japan
Patent Office

Ministry of
Economy, Tradeand Industry

Details of KPI Progress

Source of KPIs

Calculating corporate values is especially difficult
for unlisted companies. Deliberations willcontinue to be made on optimal methods andattribution selections with various survey results.
[Reference values]• Unlisted venture companies: Two companies(JAPAN STARTUP FINANCE REPORT 2018(as of February 2019)• Listed venture companies: Five companies (asof April 2019)

Calculations to bemade by the Cabinet
OfficeII. Establishing Foundations for Economic Structure Innovations [2] Dramatic regulatory
and institutional reforms
Policy group: Application of regulatory sandbox and conversion from verticallysegmented bureaucracy/developing rules according to the rise of platformer-typebusinesses/principles of competitive policies

Reference No.

KPI

134
(Aforementioned)

Creating 20 listed venturecompanies or unlisted
venture companies(unicorns) with corporate
value or aggregate market
value of one billion dollars
or more by 2023

Latest Figures―

KPI Progress
N

55

Main Supervising
Ministry/Agency
Cabinet Office(Director Generalfor Science,
Technology andInnovation Policy)

Provisional Translation

II. Establishing Foundations for Economic Structure Innovations [2] Dramatic regulatory
and institutional reforms
Policy group: Investment promotion/Corporate governance

Reference No.
141

KPI
Attain standards
comparable to Western
corporations by 2025 formajor corporation(TOPIX500) ROA

Latest Figures
FY2018Japan: 4.0%
(TOPIX500)
U.S.A.:6.2%(S&P500)
Europe: 4.2%
(BE500)Details of KPI Progress

Source of KPIs

Main Supervising
Ministry/Agency

This target was set to achieve by 2025, meaningthat the time to achievement is nine years.
FY2018 is its second year. Japan’s ROA was
3.8% in FY2016, 4.0% in FY2017, and 4.0% in
2018, still showing a divergence from Western
ROA standards.

Data of the Ministryof Economy, Tradeand Industry

Ministry of
Economy, Tradeand Industry

Details of KPI Progress

Source of KPIs

Main Supervising
Ministry/Agency

This target was set to achieve by 2020, meaningthat the time to achievement is seven years. Fiveand a half years have passed as of 2017. In
2019, Japan was ranked 25th (one rank downfrom last year). Unfortunately, it is hard to saythat the KPI is steadily improving toward theachievement of its target. Further developments
are needed. Various measures for improving thebusiness environment in Japan are being taken,
such as online/one-stop incorporation
procedures, and IT use for judiciary proceedings.
In the future, the achievement of this KPI target
will be pursued through the promotion of themeasures for improving the businessenvironment in Japan, in which relevant
coordinating ministries and agencies will pinpoint
each of the items organized by the "Liaison
Committee of Ministries and Agencies for
Improving the Business Environment."

World Bank, "Doing
Business 2019"KPI Progress
B

II. Establishing Foundations for Economic Structure Innovations [2] Dramatic regulatory
and institutional reforms
Policy Group: Promotion of the National Strategic Special Zones

Reference No.

KPI

47(Aforementioned)

In the World Bank's "Easeof Doing Business Index,"
Japan will be ranked a topthree of advanced nations
by 2020.

Latest Figures
25th (2019)KPI Progress
B

56

CabinetSecretariat(Japan's
Economic
Revitalization
General Bureau)

Provisional Translation

57(Aforementioned)

Tokyo will be ranked among
the top three cities in thePower City Index by 2020

No. 3
(2018)A

In 2016, Tokyo reached third place in the PowerCity Index, and continued to maintain that spotfor 2017 and 2018 as well.

Mori Memorial
Foundation Institutefor Urban Strategies,"Global Power City
Index 2018"

Details of KPI Progress

Source of KPIs

CabinetSecretariat(Japan's
Economic
Revitalization
General Bureau)II. Establishing Foundations for Economic Structure Innovations [3]Taking in Overseas
Growing Markets
Policy group: Global expansion of “Society 5.0” and achieving SDGs

Reference No.

KPI

Latest Figures

KPI Progress

Main Supervising
Ministry/Agency

142

Achieve infrastructure
system orders reachingapprox. 30 trillion yen in2020 (2010: approx. 10
trillion yen)

Approximately 21
trillion yen(including income
from “business
investments inoverseas
infrastructures",etc.) (2016)

B

In contrast with the orders in 2010 of approx. 10
trillion yen, orders in 2016 were approx. 21 trillion
yen. This falls below the figure of 22 trillion yen
assuming an even increase of export every year
from FY2010 to achieve the target, andnecessary measures such as the Infrastructure
System Export Strategy are to be further steadily
implemented.

Cabinet Office,statistical data of
Statistical figuresfrom the "Survey ofMachinery Orders” of
the Cabinet
Office ,etc., andhearings withindustry groups, etc.

CabinetSecretariat(Assistant Chief
CabinetSecretary’s Office(Infrastructure
Export andEconomic
CooperationTeam))

143

Realize at least ten sales
pitches each year to foreign
nations by the Prime
Minister and other ministers

95 cases(2017)A

Whereas the objective is at least 10 sales pitches
each year, there were 95 visits in 2017 (30 visits
by Prime Minister and 65 visits by other Cabinet
Ministers), of which 8 visits were accompanied byeconomic missions of business leaders.

Reports from relevant
ministries andagencies

CabinetSecretariat(Assistant Chief
CabinetSecretary’s Office(Infrastructure
Export andEconomic
CooperationTeam))

138(Aforementioned)

By the end of FY2020, thenumber of Japan’ssecretariat positions atinternational standardization
organizations will be
increased to more than 100.

101 cases(The end of 2017)A

Target for FY2020 have already been surpassed
as of the end of 2017, and efforts will be made tomaintain this standard.

Data of the Ministryof Economy, Tradeand Industry

Ministry of
Economy, Tradeand Industry

57

Provisional Translation

II. Establishing Foundations for Economic Structure Innovations [3]Taking in Overseas
Growing Markets
Policy group: Supporting overseas business expansion of Japanese companies

Reference No.

KPI

Latest Figures

KPI Progress

144

Realize the following “export
value and overseas
subsidiary sales” by 2020
compared to 2011 level:“China, ASEAN, etc.”: Double

115.6 trillion yen(FY2016)*Breakdown:
Export value 12.9
trillion yen(excluding
purchase by local
subsidiaries fromJapan), Overseas
subsidiary sales :102.6 trillion yen

B145

Realize the following “export
value and overseas
subsidiary sales” by 2020
compared to 2011 level:“Southwest Asia, the Middle
East, Russia/CIS, andCentral and South America”:
Double23.8 trillion yen(FY2016)*Breakdown:
Export value 2.6
trillion yen(excluding
purchase by local
subsidiaries fromJapan.) , Overseas
subsidiary sales:
21.2 trillion yen

B146

Realize the following “export
value and overseas
subsidiary sales” by 2020
compared to 2011 level:“African region”: Triple

2 trillion yen(FY2016)*Breakdown:
Export value 0.4
trillion yen(excluding
purchase by local
subsidiaries fromJapan.) , Overseas
subsidiary sales:
1.6 trillion yen

BMain Supervising
Ministry/Agency

Details of KPI Progress

Source of KPIs

• Progress in achieving KPIs is evaluated by thesum of the export value and sales value by
overseas subsidiaries (excluding purchase by
local subsidiaries from Japan). Whereas thetime limit for achieving the target is 2020 withthe period of 9 years, 4 years passed at thetime of the “latest figure.”
Regarding “China, ASEAN, etc.,” the export
value for FY2011 (excluding purchase byoverseas subsidiaries from Japan) was 15.4
trillion yen, and sales value by overseas
subsidiaries was 73.9 trillion yen, totaling 89.4
trillion yen. Export value for FY2016 (excluding
purchase by overseas subsidiaries from Japan)
was 12.9 trillion yen, and sales value by
overseas subsidiaries was 102.6 trillion yen,
totaling 115.6 trillion yen. Exports to China
decreased by about 9% from the previous
year, and exports to ASEAN countries
decreased by about 5%.
Regarding China, it is considered that one of
the causes is the economic growth slowdown
in China due to the drastic drop, etc. in private
investments in the first half of 2016.
As for ASEAN, it is considered to have been
affected by the stagnant trade due to the factthat resource prices remained at a low level
and to the economic growth slowdown in
China.
• Regarding “Southwest Asia, Middle East,
Russia/CIS, Central and South Americas,” theexport value for FY2011 (excluding purchaseby overseas subsidiaries from Japan) was 5.0
trillion yen, and sales value of overseas
subsidiaries was 17.0 trillion yen, totaling 22.0
trillion yen. Export value for FY2016 (excluding
purchase by overseas subsidiaries from Japan)
was 2.6 trillion yen, and sales value by

Export value:
Ministry of Finance,"Trade Statistics",
Sales value ofoverseassubsidiaries: Ministryof Economy, Tradeand Industry,"Survey of Overseas
Business Activities"

Ministry of
Economy, Tradeand Industry

Export value:
Ministry of Finance,"Trade Statistics",
Sales value ofoverseassubsidiaries: Ministryof Economy, Tradeand Industry,"Survey of Overseas
Business Activities"

Ministry of
Economy, Tradeand Industry

Export value:
Ministry of Finance,"Trade Statistics",
Sales value ofoverseassubsidiaries: Ministryof Economy, Tradeand Industry,"Survey of Overseas
Business Activities"

Ministry of
Economy, Tradeand Industry

58

Provisional Translation

overseas subsidiaries was 21.2 trillion yen,
totaling 23.8 trillion yen. Exports to Central andSouth Americas increased by 5% andincreased by 28% for CIS, however, Southwest
Asia decreased by 2%, the Middle Eastdecreased by 17%, and Russia decreased by1%.
It is considered that one of the factors may be
the low level of resource prices, as well as the
sluggish economy in emerging countries due tothe impact of the US interest rate hike, etc.
• Regarding “Africa” the export value for FY2011(excluding purchase by overseas subsidiaries
from Japan) was 0.4 trillion yen, and sales
value by overseas subsidiaries was 1.6 trillion
yen, totaling 2.0 trillion yen. Export value for
FY2016 (excluding purchase by overseas
subsidiaries from Japan) was 0.4 trillion yen,and sales value by overseas subsidiaries was
1.6 trillion yen, totaling 2.0 trillion yen. It was
down by 8% from the previous fiscal year forthis region. Due to various concerns such as
Japanese companies cannot find products thatmeet local needs and income, cannot
understand local commercial system and laws,
and safety risks, Japanese companies are notexpanding in Africa.
Economic size, economic growth andexogenous political and natural disaster risks
differ depending on regions and countries, and
it is important to evaluate progresses of global
outreach made by Japanese companies bymaking comparisons of economic developmentof each region and country and expansions offoreign companies into each country, in
addition to figures. Based on this standpoint,
the Government will continue monitoring thedevelopment of export value and overseas
subsidiary sales by Japanese companies.

59

Provisional Translation

19

147

Raise FTA ratio to 70% by2018

51.6% 19(based on 2018
trade value)

B

This KPI measures the ratio of the amount oftrade with countries with which EPAs & FTAs arein effect or signed in proportion to Japan’s total
trade. With regard to prmoting economic
partnerships, TPP11 was signed by 11 countries
on March 8, 2018, and entered into force on
December 30, 2018. Furthermore, Japan-EU
EPA was signed on July 17 of the same year,
and entered into force on February 1, 2019.
Additionally, the Government is proceeding
vigorously negotiations towards early conclusionsof EPAs & FTAs currently under negotiation,
including RCEP, etc.

Ministry of Finance"Trade Statistics"

CabinetSecretariat(Office ofAssistant Chief
Cabinet Secretary(foreign affairs))

148

Sign and/or achieve entry into
force of investment-relatedagreements (investment
agreements and economic
partnership agreements withinvestment chapters)
covering 100
countries/regions by 2020.

76
countries/regionsB

The Japan-Armenia Investment Agreement was
signed in February 2018, the Japan-UAE
Investment Agreement in April of the same year,
the Japan-Jordan Investment Agreement inNovember of the same year, and the JapanArgentina Investment Agreement was also signed
in December of the same year. Furthermore,other official investment agreement negotiations
started in the same year with Ethiopia,
Tadzhikstan, and Paraguay, also with Azerbaijan
in February 2019. If all these investment
agreements enter into force, 94 countries/regions
will be covered. The Government aims to achieve
this KPI target by steadily advancing theseinvestment-related agreements and by expanding
new countries for negotiations.

Survey by theInvestment Policy
Division, Ministry ofForeign Affairs

Ministry ofForeign Affairs

The ratio of the amount of trade with countries with which EPAs & FTAs are in effect EPA/FTAor signed as of December 201860

Provisional Translation

149

Double the value of export
value and overseas
subsidiary sales by SMEs by2020 compared with the levelof 2010.

20.6 trillion yen(FY2016)

A

While the deadline for target achievement is 2020
with the target achievement period of 10 years, 6
years have elapsed at the point of the “latest
figure.” The export value of SMEs (medium
enterprises are defined as those with capital of
one billion yen or less) increased from 12.8 trillion
yen to 20.6 trillion yen in six years from FY2010
to FY2016, going above the figure at the momentof 20.48 trillion yen assuming an even increase ofexport value and subsidiary sales every year from
FY2010 to achieve the target.

Export value:
Ministry of Economy,
Trade and Industry,"General Survey ofBusiness Activities",
Sales value ofoverseassubsidiaries: Ministryof Economy, Tradeand Industry,"Survey of Overseas
Business Activities"

Ministry of
Economy, Tradeand Industry

124(Aforementioned)

The number of foreign
students’ acceptance will be
doubled from 140,000 to
300,000 by 2020.

208,901(as of May 1, 2018)

B

While the time frame given to achieve this KPItarget is from 2013 to 2020, five years haveelapsed at the point of the “latest figure.”
Although the number of foreign students studying
at higher educational institutions in Japan
increased from 135,519 to 208,901 (an increaseof approximately 73,000), the prorated KPI target
at this point (approximately 117,000) has notbeen achieved. In the meantime, the number offoreign students currently studying at Japanese
language schools for learning Japanese before
entering higher educational institutions in Japan
is 90,079. If this number is added, the number offoreign students comes to 298,980.
To increase the number of foreign students
accepted by higher educational institutions, theGovernment will disseminate the attractiveness ofstudying in Japan to foreign students in acomprehensive way and support various efforts
made by universities to enhance scholarshipprograms and promote employment of foreign
students. As well as making studying in Japan
more attractive, the Government will implement
comprehensive measures, e.g. intensive support
to universities that are promotinginternationalization thoroughly, to achieve thisKPI target.

Japan Student
Services
Organization,"Survey on
International
Students in Japan"

Ministry of
Education,
Culture, Sports,
Science andTechnology

125(Aforementioned)

Aim to recognize 10,000
highly- skilled foreign
professionals by the end of2020 and recognize 20,000
highly-skilled foreign
professionals by the end of

15,386(December 2018)

A

The KPI target of certified 10,000 highly- skilled
foreign professionals was set to achieve by theend of 2020. However, the number of certified
professionals reached 15,386 by the end of
December 2018, achieving the target ahead ofschedule. The Government continues to aim to

Ministry of JusticesurveyMinistry of
Economy, Tradeand Industry

61

Provisional Translation

2022.

recognize 20,000 highly-skilled foreign
professionals by the end of 2022.

II. Establishing Foundations for Economic Structure Innovations [3]Taking in Overseas
Growing Markets
Policy group: Measures to promote the appeal of Japan
Reference
No.

KPI

Latest Figures

150

Double the inward foreign direct
investment (FDI) stocks to 35 trillion
yen by 2020 (the end of 2012: 19.2
trillion yen)30.7 trillion yen(The end of 2018)

151

Increase overseas sales ofbroadcast contents to 50 billion yen
by FY2020

152

Aim for increasing rate of Japanese
alcoholic beverages export toexceed that ofagricultural/forestry/fishery products
and food export by 2020

KPI Progress

Main Supervising
Ministry/Agency

Details of KPI Progress

Source of KPIs

B

Comparison cannot be made for the stock based
KPI indicator between the years prior to 2013
and after 2014 due to revisions of statisticalstandards. The inward foreign direct investment
stocks was 31.2 trillion yen at the end of 2018
assuming an even increase of investment stocks
since statistically comparable 2014 to the targetof 35 trillion yen in 2020. The actual balance was
30.7 trillion yen at the end of 2018, falling behindthe prorated KPI at the same point.
While 24 local governments have been
determined as targets for the “Support Programfor Regional Foreign Direct Investment in Japan”,
the Government is reinforcing the regional efforts
through formulation of strategies to attract foreign
investments taking advantage of local
characteristics and supports for the activities
inviting overseas companies by the Government
and JETRO. The Government will continue towork on measures to strengthen inward direct
investment.

Ministry of
Finance/Bank ofJapan
Outstanding external
assets and liabilities
in “Balance ofPayments”

Cabinet Office44.45 billion yen(FY2017)

A

While the deadline for target achievement is
FY2020 with the target achievement period of 5
years, 2 years have elapsed at the point of the“latest figure.” The overseas market sales ofbroadcast contents increased from 28.85 billion
yen to 44.45 billion yen during the two years from
FY2015 to FY2017, exceeding 37.31 billion yen
which was the figure at the moment assuming aneven ratio of annual increase for every year.

Ministry of Internal
Affairs andCommunications,"Analysis on thecurrent situation ofoverseas sales ofbroadcast contents"

Ministry ofInternal Affairs
andCommunications

Increase of 198.6%(2012 to 2018)61.8 billion yen(2018)A

The increase rate in 2012–2018 exceeded that ofagricultural, forestry and fishery products andfoods (an increase of 101.6%).

Ministry of FinanceTrade Statistics

Cabinet Office,(Secretariat ofIntellectual
Property Strategy
Promotion)

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