Finance
Overview
From the late 19th to the early 20th century, when coal was the primary energy source, Hokkaido served as one of Japan’s major energy supply bases. During this era, Otaru -neighboring Sapporo- was the region’s largest coal shipping port and a hub for the herring fishing industry. As overseas trade expanded, demand for foreign exchange and insurance grew, leading to the concentration of up to 25 financial institutions and earning Otaru the nickname “the Wall Street of the North.”
Today, as the global economy transitions to cleaner energy, Hokkaido is again attracting attention. With Japan’s highest renewable energy potential, the region is developing new industries including energy, semiconductors, and data centers.
Currently, Hokkaido and Sapporo have been designated as “Special Zones for Financial and Asset Management Businesses specialized in GX / AI” (GX = “Green Transformation”). To support investment and strengthen regional industries, Sapporo is enhancing its financial functions through regulatory reforms and targeted support measures, aiming to expand asset management services, foster emerging sectors, and establish itself as a financial center attracting capital, talent, and information from across Asia and the world.
Key Benefits
Financial and Asset Management Special Zone
In June 2024, Sapporo and Hokkaido were officially designated as a priority area under a government initiative to promote the concentration and expansion of financial and asset management services and the development of growth industries centered on GX. The designation enables regulatory reforms across finance, business, and living environments, as well as enhanced administrative services including English-language support.
Sapporo GX Promotional Tax Incentive
Special tax measures have been introduced for new GX-related businesses in Sapporo, including Hokkaido-based GX projects, asset management services attracting investment to them, and fintech businesses. Eligible companies may receive up to a 100% exemption from municipal taxes for a maximum of 10 years.
Leading Sustainable Finance
By leveraging the “GX Financial and Asset Management Special Zone” framework, local financial institutions are actively promoting finance that prioritizes sustainability, including decarbonization initiatives.
Strong Education and Research Base
Centered around Hokkaido University, which ranks highest in Japan in the Times Higher Education Impact Rankings, Sapporo and the surrounding region host a strong concentration of educational and research institutions advancing talent development and cutting-edge research in fields such as finance and economics.
Sector Snapshot
Consortium of 21 Strategic Partners
Source: Team Sapporo-Hokkaido Project Promotion Council – Organization and Members
Over 40 trillion yen in investment
World 1st in Regional Green Finance
Source: Team Sapporo-Hokkaido Green Finance Framework, Oct 2025
Japan's 1st ESG pro-bond market
Source: Sapporo securities exchanges
Collaborative
Projects
Partnership with the Climate Bonds Initiative (CBI)
In December 2024, Hokkaido and the City of Sapporo jointly announced a statement with the Climate Bonds Initiative, an international NGO leading sustainable finance, on promoting GX and regional revitalization.
Partnership with FinGATE to Develop a Financial Hub in Sapporo
In October 2025, the City of Sapporo signed a partnership agreement with Heiwa Real Estate Co., Ltd., which operates “FinGATE” in Nihonbashi Kabutocho, Tokyo, to strengthen the financial ecosystem. The partnership focuses on fostering, attracting, and supporting financial companies, creating regional business opportunities, and developing and exchanging financial talent, with the potential establishment of new hubs in Sapporo.
Support network for opening bank accounts
In May 2025, a support framework was established to facilitate smooth bank account opening procedures for foreign companies entering Sapporo. This initiative brings together regional banks, including North Pacific Bank and The Hokkaido Bank, as well as mega banks such as MUFG Bank, Mizuho Bank, and Sumitomo Mitsui Banking Corporation.
Regional fund initiative
In November 2025, plans were announced for a public-private regional fund, the “Sparx Sapporo-Hokkaido GX Fund”. With investment from the City of Sapporo, North PacificBank, and The Hokkaido Bank, and others, the fund is expected to support and revitalize GX-related businesses within the region.
Engagement with specialised financial organizations (JIAM)
In addition to joining the “Japan International Asset Management Center (JIAM)”, the City of Sapporo participates in the “Japan Asset Management Forums” involving global institutional investors. Sapporo leverages networks across the Financial Services Agency and domestic and international financial stakeholders to advance concrete initiatives aimed at financial clustering.
