Japan to Tighten Entrepreneur Visa Requirements with Language Proficiency and Increased Investment

The Immigration Services Agency is planning to introduce Japanese language proficiency as a requirement for the entrepreneurs visa. This decision follows public demand for stricter criteria. The agency had previously announced proposed revisions to the business manager visa requirements in August, including a significant increase in the required capital or investment. This new language requirement represents a further tightening of the regulations.

The primary goal of this change is to improve communication between visa holders and local residents. This is intended to reduce potential "friction with society," a concern highlighted in a recent report reviewing foreign resident policy. The business manager visa is designed to attract entrepreneurs to Japan.

Critics have expressed concerns that the current requirements for the visa are too lenient compared to those of other countries. The agency intends to require either the applicant or a full-time employee to demonstrate a "considerable level" of Japanese language proficiency. This proficiency level is equivalent to the B2 level, which is the third highest on the international standard for foreign language proficiency.

The requirement can be met by employing a Japanese national in a full-time position. The revised ordinance is anticipated to be implemented as early as mid-October. The agency sought public comments on the proposed revisions starting August 26, and many respondents advocated for the inclusion of Japanese language proficiency. Members of the ruling Liberal Democratic Party have also requested a further review of the visa requirements.

The business manager visa is renewable and allows for a maximum stay of five years, including the ability to bring family members. As of the end of last year, approximately 41,600 individuals held this visa status. Currently, applicants must meet specific conditions, such as securing a business office and either providing at least 5 million yen in capital or investment or hiring two or more full-time employees. The proposed revisions would increase the capital or investment requirement to 30 million yen, mandate the hiring of at least one full-time employee, and require Japanese language proficiency from either the applicant or a full-time employee.