Japan and Ukraine continue to strengthen their economic and defence partnership. Among the recent news are $88 million in financing under the World Bank’s Resilient, Inclusive, and Sustainable Enterprise (RISE) project to support Ukraine’s private sector, provided through a guarantee from the Government of Japan via the International Bank for Reconstruction and Development. Additionally, Japan is supporting the development of medical technologies in Ukraine, including the introduction of 3D-printed prostheses, exoskeletons, and mobile medical systems within the Green Industrial Recovery Project for Ukraine. Ukraine and Japan also agreed to launch a regular defence consultation mechanism, highlighting their growing cooperation despite being geographically distant and culturally different.
Understanding the Axis of Evil
Russia’s ties with North Korea have deepened following the participation of North Korean soldiers in the Russian-Ukrainian war. Russia is transferring Shahed-136 kamikaze drone technology to Pyongyang, prompting Ukraine to collaborate with Japan on coordinating defence efforts. Japan, constrained by its pacifist Constitution, cannot provide lethal weapons to Ukraine, but it has taken a stabilizing role through economic and humanitarian support.
On September 12, 2025, the Japanese government adopted additional sanctions against Russia, expanding the list of targeted organizations and individuals, and reduced the oil price “ceiling” to $47.6 per barrel. However, Japanese Finance Minister Katsunobu Kato stated that Japan did not support the U.S. call for higher import tariffs on China and India, noting that Japan is seeking more effective ways to pressure Russia. This reflects Japan’s ongoing dependency on Russian energy sources, despite recognizing the strategic threat posed by authoritarian states.
Main Areas of Cooperation
According to the Kiel Institute, the total bilateral aid allocated by Japan to Ukraine amounts to €13.58 billion. Japan became one of the largest donor of financial aid to Ukraine. Reconstruction and business development are the two focuses of Japanese assistance.
In April 2025, Ukraine and Japan signed an agreement for a loan of approximately 471.9 billion yen ($3 billion) under the G7 ERA initiative, aimed at meeting priority budgetary needs and promoting Ukraine’s recovery and development. The Ministry of Finance emphasized that the loan will be serviced and repaid using future revenues generated from immobilized Russian sovereign assets.
In September 2025, Ukraine and the International Bank for Reconstruction and Development signed a $246.5 million loan under the SURGE program (“Supporting Recovery through Prudent Fiscal Governance”). The program aims to establish an effective public investment management system, improve fiscal governance at the local level, and enhance medium-term and program budgeting. This is essential for the financial sustainability of communities and for ensuring transparency in the use of funds.
Conclusion
Japanese support has played a crucial role in stabilizing Ukraine’s economy, as highlighted in numerous conferences and international discussions. The collaboration between Ukraine and Japan strengthens in response to authoritarian alliances. Cooperation with Japan is not limited to government programs and grants. It also involves institutional agreements, joint conferences, long-term support initiatives, reforms, and improvements in governance standards, creating a solid foundation for Ukraine’s post-war recovery and long-term development.
Daria Maslienkova
