The economic policy of Abenomics, named after Prime Minister Shinzo Abe, consists essentially of three arrows: fiscal stimulus including economic recovery measures, ultra-loose monetary policy and structural reforms. They are designed to ensure the generation of sustainable economic growth in the future despite the named challenges.
The ultra-loose monetary policy financed the government’s economic stimulus packages of over 230 billion Euro in infrastructure such as roads, bridges and earthquake protection. The tax cuts for companies - especially for technology companies – have also served to boost the economy. The Nikkei, Japan's leading index, has risen significantly in recent years and unemployment is at its lowest level in 25 years. Part of the structural reform programme included a liberalisation of the labour market and a deregulation of the energy, environment and health sectors to help restore Japan's competitiveness.
The initiative Society 5.0 is also intended to restore Japan’s competitiveness and to increase productivity. Accordingly, robotics was declared a key industry to counter the consequences of demographic change and the associated labour shortage in 2004. Robots are to be found not only in production halls, but also in the service and entertainment sectors. Already today, robots support and facilitate heavy physical activities, such as lifting during care-taking activities. Through targeted support, Japan has developed into an export country for robotics and is making a name for itself as a market leader in the long term, profiting from rising revenues and a relief on the labour market. Nippon is a pioneer of modern technologies and has promising companies whose shares can achieve significantly higher returns than any savings account.