According to a survey of 1,000 companies by Japan Bank of International Cooperation, India is seen as the second-most favoured destination for investment, after China.
Japanese investors consider India as the most promising country for long-term investment, reports indicate.
Of all Japanese investment in India, Tamil Nadu accounts for 40 per cent, data from the Japan Chamber of Commerce & Industry show.
Of the investment of Rs 20,350 crore by the 120 members of the chamber, Rs 8,320 crore went towards Tamil Nadu.
Four years ago, there were 77 Japanese projects in the state; as of October 2012, the number rose to 344. During the same period, the number of Japanese projects across the country rose only 125 per cent to 1,804, reports indicate.
In partnership with a Japan consortium, Tamil Nadu government is building a Rs 3,500-crore integrated township along with ready built factories in the Sri City special economic zone (SEZ).
The township is estimated to draw investment of Rs 15,000 crore. The state has said it would also bring out a special package for micro, small and medium enterprises.
