The era of “new capitalism” and the development of Japan’s military tech becomes a catalyst for the growth and strengthening of the military power of the Allies

On February 22, 2024, the Japanese stock index, the Nikkei Stock Average, closed at its all-time high since 1989, rising to 39,098 points.

Since the beginning of the year, this index has risen by 16.8%, becoming one of the best-performing global indices since last year. The rise in the average exchange rate was driven by Japan’s growing investment attractiveness amid the successful deployment of its “new capitalism” development course.

The New Capitalism Initiative, in the updated version for 2023, aims to increase investment in human capital, startups, digital transformation, science, and technology. Investments should help address Japan’s long-term challenges, such as demographic issues, stagnant wages, and climate change.