Reuters. Indian Prime Minister Narendra Modi and his Japanese counterpart Sanae Takaichi on Thursday (July 2) pledged to boost their two countries' cooperation in artificial intelligence, defence, energy, and economic ties.
Takaichi is on a three-day visit to New Delhi as the two Asian partners hold their 16th annual summit.
Bilateral trade between the two countries reached $27.5 billion in fiscal year 2025/26, while Japanese investment in India was $3.2 billion between April and December 2025, according to Indian government data.
Modi said that the two countries, also members of the Quad grouping, signed an agreement on their first co-development project in the defence sector.
Japan is among India's largest investors, backing major infrastructure projects including a high-speed rail corridor between the cities of Mumbai and Ahmedabad. Japanese firms have also increased investments in Indian companies, including a recent $1.6 billion deal for a 20% stake in Yes Bank.
Takaichi is accompanied by a large business delegation and is due to speak at a business conference later on Thursday.
