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Japan Tightens Business Manager Visa Rules, Threatening Foreign Entrepreneurs

7/1/2026, 9:37:33 PM

New Visa Rules Threaten Foreign Entrepreneurs

Late 2025 reforms to Japan’s business-manager visa raise the capital requirement from 5 million to 30 million yen, mandate hiring a Japanese national or long-term resident, and shorten the grace period for compliance. Failure to meet these conditions can trigger non-renewal and possible expulsion.

Demographic Context and Immigration Debate

Japan’s ageing population and low birth rate have created severe labour shortages, prompting calls for more immigration. Public anxiety over overtourism, rising land prices, and the Sanseito party’s “silent invasion” narrative has fueled demand for stricter screening of foreign residents.

Visa Landscape: Numbers and New Requirements

  • Business-manager visa holders: ~46,000 in mid-2025, a 70 % rise since 2020, half of whom are Chinese.
  • New capital threshold: 30 million yen (? $185,000).
  • Tourist visa fees increased five-fold; departure tax tripled to 3,000 yen.

These changes dramatically raise the financial and administrative burden on foreign entrepreneurs.

Personal Impact on Business Owners

Budhathoki Samjhana, a Nepalese restaurateur in Tokyo’s Okubo district, opened her third eatery in 2023 and now faces possible expulsion because she cannot meet the new capital ceiling. Manish Kumar, an Indian restaurant owner of three decades, was told his visa would not be renewed despite the grace period, endangering his Japanese-speaking children. A 30-year-old Bangladeshi man who runs a trading business reported difficulty finding Japanese staff, noting “there’s not enough Japanese workers” to satisfy the employment clause.

Government Statements

Prime Minister Sanae Takaichi framed the reforms as a response to overtourism and soaring land prices. Justice Minister Hiroshi Hiraguchi said the ministry has “no plan to review the rules” and will handle cases individually. Advisors Kazuki Yuda and Daisuke Komori warned the measures affect “small restaurant owners” and “young entrepreneurs” while also targeting visa abusers.

Opposition and Petition

More than 67,800 signatures have been gathered on a petition demanding suspension of the new rules. Petition organiser Taro Tsurugashima called the denial of Manish Kumar’s visa “shocking,” arguing the reforms jeopardize small businesses that fill labour gaps in multicultural districts like Okubo.

Conflicting Information

Authorities cite security and illegal-resident concerns, yet visa experts and affected entrepreneurs describe opaque decision-making and inconsistent documentation requirements. The precise criteria used to reject applications remain unclear, creating a gap between official rationale and lived impact.

Verbatim Quotes

  • “I always wanted to become a bridge between Japan and Nepal... but my dream is broken,” — Budhathoki Samjhana, restaurant owner
  • “We also started to see unscrupulous real estate agents telling people that they could secure a visa simply by purchasing property in Japan," he said.” — Kazuki Yuda, administrative-affairs advisor

Outlook

The government has signaled that the rules will be applied case-by-case, and Justice Minister Hiroshi Hiraguchi reiterated there is no plan to revise them. Opposition lawmakers and petitioners say they will continue to press for exemptions in future parliamentary debates.