Prime Minister Mr. Narendra Modi to secure Rs. 5,96,564 crore (US$ 68 billion) Japan investment, boost artificial intelligence (AI), chip ties during visit

Prime Minister Mr. Narendra Modi is set to secure investment pledges of over Rs. 5,96,564 crore (US$ 68 billion) from Japan during his two-day visit, reinforcing India’s economic momentum and strengthening bilateral relations. Both nations are expected to sign an economic security pact that will deepen cooperation in semiconductors, critical minerals, and artificial intelligence (AI). In a statement on August 28, 2025, he highlighted that discussions would focus on shaping the next phase of the partnership by expanding economic and investment ties while advancing collaboration in new and emerging technologies. During his visit on August 29 and 30, he will meet Prime Minister of Japan H.E. Mr. Shigeru Ishiba, along with prefecture governors, to broaden economic and technological engagement. Prime Minister Mr. Narendra Modi will subsequently travel to China to attend the Shanghai Cooperation Organisation summit, where a bilateral meeting with the President of the People’s Republic of China, Mr. Xi Jinping, is planned.  
The visit is also expected to accelerate defence collaboration between India and Japan. Discussions will cover technology transfer and the joint development of advanced military hardware, including sophisticated sensors for enhanced communication and improved stealth capabilities for naval vessels. India, currently the world’s second-largest arms importer, is intensifying efforts to strengthen domestic defence manufacturing and build partnerships for technology acquisition with countries such as Japan, France, Germany, and the United States (US). These initiatives reflect New Delhi’s commitment to boosting self-reliance while integrating global expertise in strategic sectors. By combining large-scale investments with innovation-driven defence and technology partnerships, India and Japan are poised to elevate their bilateral relationship to new heights.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.