The Policy Research Institute (PRI) was first established as the Institute of Fiscal and Monetary Policy in May 1985 and was renamed in 2000. Last year marked the 40th anniversary. As the think tank of the Ministry of Finance (MOF), the PRI not only conducts research and studies on finance and economics but also provides intellectual support and technical assistance to developing countries, engages in exchanges with overseas research institutions, conducts statistical surveys on business activities by corporations, compiles History of Fiscal and Monetary Policies of Japan, and provides training to MOF officials.
Japan is currently facing structural and interrelated changes in its environment, including the rapid decline of the working-age population, instability in the international order and rising geopolitical risks, increasing vulnerabilities in supply chains, and the rapid advancement of disruptive technological innovations such as artificial intelligence (AI).
Against this backdrop, looking at the Japanese economy, corporate earnings have remained solid, and employee income has increased in both nominal and real terms. As a result, a private sector-led cycle is beginning to emerge in which rising incomes generate consumption and investment.
However, overseas risk factors that could have a significant impact on the outlook for the Japanese economy, including the situation in the Middle East, continue to exist. At the same time, domestic structural challenges, such as the declining birthrate and shrinking population, remain and further efforts are needed to achieve a full transition to a growth-oriented economy.
To overcome the domestic and international challenges mentioned above, it is necessary to formulate fiscal and economic policies that achieve both a strong economy and fiscal sustainability in an integrated manner, while responding appropriately to policy issues in light of the global situation. To this end, it is essential to conduct research and studies from a broad perspective on economic conditions at home and abroad and on policy measures.
The PRI conducts research and studies on medium- and long-term issues of public finance and the economy and issues related to financial and capital markets, as well as international economic situations, including surveys on individual countries, reflecting the interests of relevant policymakers and taking into account the importance of theoretical grounding. The results of the research and studies are published in the Financial Review, the PRI’s flagship periodical journal, as well as in other study group reports, various papers, including discussion papers, and on the PRI website. In addition, as part of the PRI’s efforts to utilize administrative data, we are also engaged in research utilizing customs’ import and export declaration data.
The PRI actively provides intellectual support to developing countries and promotes research exchanges with foreign research institutions.
For intellectual support, the PRI provides technical cooperation to Uzbekistan, Cambodia, and other developing countries, with a particular focus on capacity building for government officials and staff of government-affiliated financial institutions. We also conduct activities, such as accepting trainees for seminars to provide knowledge and experience on Japan’s finances and economy to foreign countries, including Southeast and Central Asian countries.
In addition, the PRI promotes research exchange by holding workshops and other events with research institutions in Korea, China, India, and Vietnam, and accepts government officials and researchers from developing countries as visiting or practical researchers. The PRI also holds study meetings, inviting experts on China, India, and ASEAN.
The PRI conducts a series of two statistical surveys on a regular basis: one on the Financial Statements Statistics of Corporations, which aims to capture the current status of the business activities of approximately 33,000 corporations; and the other, the Business Outlook Survey, which aims to quantify the business sentiment and outlook across approximately 14,400 corporations. These government statistics attract the attention of the press, market participants, experts, etc., and when they are released, they attract a large number of hits to the PRI website.
The PRI has published History of Fiscal and Monetary Policies of Japan, which compiles the administrative records of the Ministry of Finance as a historical reference. This is intended to serve as a resource for the planning and formulation of fiscal administration and for academic research. To date, we have published 117 volumes in seven series, which began with the Meiji History of Fiscal and Monetary Policies of Japan, continuing up to the Heisei History of Fiscal and Monetary Policies of Japan: FY1989 through FY2000. Since FY2020, we have been working in compiling the History of Fiscal and Monetary Policies of Japan covering the latter half of the Heisei era from FY2001 onward, and volumes have been published sequentially since FY2025.
The PRI offers comprehensive training courses to MOF officials and Regional Finance Bureau staff to help them acquire the specialized knowledge and skills necessary for more effective and efficient administrative operations. In FY2025, 346 training courses were provided to a total of 14,963 participants. In terms of training management, the PRI is working to enhance and strengthen the content in response to changes in the environment surrounding public administration, as well as to implement online and on-demand training programs to expand opportunities for participation in training.
The PRI is proud of its diverse staff members, including not only government officials but also publicly recruited researchers with specialized knowledge. To add value further, the PRI conducts joint research with universities and private research institutions. With intellectual expertise accumulated through the various activities mentioned above, the PRI, in cooperation with each department, will proactively continue and strengthen its research and studies, international research exchange, and assistance for capacity building and human resource development. We appreciate your continued support of the PRI.
August 2026
KOMIYA Atsushi,
President,
Policy Research Institute,
Ministry of Finance, Japan
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