“In today’s world, where stability itself has become a scarce and valuable asset, resilience means the ability to restore balance after being shaken by external forces.

Tokyo has that resilience,” said Nakaso Hiroshi, Chairman of FinCity.Tokyo, in his keynote speech at the FinCity Global Forum 2026 in early February.

Held in the city’s Kabutocho District, the event gathered a range of experts to discuss Tokyo’s strength as a finance hub amid the current volatility.

Global investors clearly agree, as evidenced by historic highs in overseas investors’ net purchasing of Japanese equities and a record year-end above 50,000 for the Nikkei 225.

While a weak yen has added to the momentum, a closer look reveals several strengths that give Tokyo its enduring resilience.

Following the signing of an MOU for stronger ties between Tokyo and Frankfurt, Nakaso Hiroshi, Chairman of FinCity.Tokyo, and Oliver Behrens, Chairman of Frankfurt Main Finance, held the keynote dialogue at FinCity Global Forum 2026 on the topic of collaboration among financial centers amid global tensions.

In troubled times, Tokyo stands for stability and rule of law Japan’s stable democracy and commitment to the rule of law enables a sophisticated capital market characterised by a high degree of institutional trust.

In the World Bank’s World Development Indicators, Japan scores first among G7 nations on Government Effectiveness and Political Stability and Absence of Violence/Terrorism.

In Kearney’s 2025 FDI Confidence Index, which ranks legal and regulatory efficiency, Japan also ranked top in Asia Pacific, while climbing from seventh to fourth globally year-on-year.

"Japan has widely diversified industries, with 3,900 publicly held companies, deep liquidity in equity, fixed income and forex, and a rule-based regulatory environment.

The central and regional governments are very well coordinated," emphasised Honda Keiko, Professor at Waseda Business School, in a panel at the FinCity Global Forum 2026.

Moreover, Tokyo enables access to national household financial assets surpassing JPY 2,000 trillion ($13.3 trillion), which is shifting from cash savings into investments.

Tokyo leads the way in the era of the green transition Japan is at the forefront of mobilising finance for sustainability.

In February 2024, the government launched the world’s first sovereign transition bond as part of its strategy to raise JPY 150 trillion ($1 trillion) in public-private investment for the green transition.

Meanwhile, Tokyo is perfectly placed to lead the greening of Asia’s manufacturing centres as the heart of extensive Asian supply chains and a global top producer of greentech patents.

Already, the city is rapidly developing into Asia’s hub for green finance.

Tokyo’s focus on resilience and infrastructure is particularly notable.

The success of the TOKYO Resilience Bonds — the first to be certified under the Climate Bonds Resilience Criteria — clearly showed investors’ demand for resilience-focused investments capable of stable long-term returns amid increasing climate risks.

Aimed at funding the city’s capacity to cope with increasingly severe storm and flood disasters caused by climate change, the bond attracted EUR 2.2 billion ($2.6 billion) in bids and was....