Japan to increase science grants budget by ¥10 billion

The Japanese government has finalized a ¥247.9 billion budget for grants-in-aid for scientific research in fiscal 2026, an increase of about ¥10 billion from the previous year—the largest rise in the past decade. This move addresses concerns over declining research capabilities, with expansions in support for young researchers and international collaborations.

The Japanese government has settled on a ¥247.9 billion allocation for grants-in-aid for scientific research, known as kakenhi, in the fiscal 2026 budget. This represents an approximately ¥10 billion increase over the prior year's funding, the biggest jump in a decade. The program, managed by the Ministry of Education, Culture, Sports, Science and Technology, stands as Japan's primary competitive funding mechanism, spanning natural sciences, humanities, and social sciences—though its core budget had remained largely stagnant for years.

A key focus for the upcoming fiscal year is bolstering support for young researchers. In the 'Challenging research (exploratory)' category, which backs innovative and emerging projects, around 1,000 new slots dedicated to young investigators will be added, effectively doubling the number of grants. Each will offer up to ¥5 million.

To counter worries about the waning global standing of Japanese scientists, funding for international collaborative efforts will rise, along with higher acceptance rates for such proposals. Economic and academic groups have pushed for doubling the kakenhi overall. Last month, Prime Minister Sanae Takaichi directed ministers at the Council for Science, Technology and Innovation to ramp up investments in fundamental research substantially.

Additionally, on Wednesday, management expense grants for national universities—covering staff and research costs—were projected at ¥1.0971 trillion for fiscal 2026, up ¥18.8 billion from last year. This marks the largest increase on record, excluding fiscal 2014 when the Great East Japan Earthquake affected allocations.

These steps aim to rebuild and enhance Japan's research infrastructure amid competitive pressures.

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Kyoto University has met screening standards to become eligible for designation as a world-class research institute. Formal designation as the third recipient of the program is expected by the end of summer.

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Defense Minister Shinjiro Koizumi said Friday that Japan's initial budget for defense spending and related costs in fiscal 2026 totals about 10.6 trillion yen ($66.5 billion), roughly 1.9 percent of its 2022 gross domestic product or around 1.5 percent using projected fiscal 2026 GDP. Japan aims to raise spending to 2 percent of GDP by fiscal 2027.

Japan's Industry Ministry is considering ending the Cool Japan Fund following cumulative losses of ¥54 billion in fiscal 2025.

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Japan's Finance Ministry spent a record ¥11.73 trillion intervening in foreign exchange markets to support the yen during the month ending May 27.

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