Japanese investments in India to create 3.61 lakh tech jobs by 2023: Nasscom

Japanese investments in the Indian IT and startup ecosystem is expected to create 3,61,000 tech jobs in India by 2023, said a report released by industry apex body Nasscom in partnership with Nomura Research Institute (NRI) on Monday.

According to the report, Japanese investments in India have grown over 4 times since 2016 and helped create 102,000 jobs so far. This employment number will more than double in the next over a couple of years with startups alone accounting for 80% of these jobs.

Japanese investments into Indian IT between 2016 and 2021 (so far) reached $9.2 billion characterised by a growing number of deals mostly by large investors like Softbank, as per the report.

Japanese policymakers viewed India as a reliable partner for accelerating the country’s digital transformation and started investing heavily in Indian tech startups since 2016, it said.

As per the report, startups in fintech, healthcare and mobility sectors were the hot sectors attracting investments from multiple Japanese investors followed by E-commerce, enterprise, and real estate.

Yasuyuki Murahash, Chief Director General, JETRO said, “The growth of India’s digital sector under COVID has been remarkable, and many Japanese companies are paying attention to the Indian ecosystem.”

In her response, Debjani Ghosh, President, Nasscom said, “This increase in the investment by Japan is a testament to our performance and expertise. The Indian technology industry has become a reliable partner for digital transformation journey and innovating new business model for Japanese companies.”