Subsidies as a tool to stimulate the investment attractiveness of Japanese regions

Abstract

The relevance of the article is due to the importance of studying the experience of modern Japan in optimizing the distribution of budgetary resources in the framework of programs to stimulate investment activity. The aim of the work is to study the structure of subsidies provided by central and local governments in Japan to improve the investment climate. In order to attract investments from Japanese and foreign investors who create new enterprises and workplaces in the regions, special economic zones are being established; credit rates, tax payments are subsidized, as well as a number of expenses of investors (costs of administrative procedures, rent of real estate, personnel recruitment, etc.). Despite the controversy over the appropriateness of subsidies in the context of public finance deficits, the example of Japan's regions shows that subsidies in the structure of fiscal mechanisms play an incentive role for worthy recipients who are able to ensure the goals and objectives of regional development policy in the future.