Mie’s Opportunities Developed by Adopting ICT Aggressively Diffusion of Cashless Payments in

Mie’s cashless payment ratio Our target penetration ratio of cashless payments in Mie

Toward a prefecture leading in cashless payments 1st (1) Inbound tourists Credit card 2nd Kagawa (2) Large shopping 50% centers 3rd Chiba Debit card 40%

2025 Gov’t 4th Mie 19% 19.15 % E-Money Target 40% (Prepaid card) Mie Pref. is more receptive to cashless payments * Based on Commercial Statistics announced by the Government (2014) 2014 2023 2025 Smartphone settlement (QR code, etc.) * Announced by the Ordinary Committee Meeting of Strategy, Planning, Employment and economy of Mie Prefecture Congress Activities to diffuse cashless payments in Oct. 2019 Hyakugo Bank Cashless Large Individual and small business Cashless payment of automobile taxes companies SMEs owners Seminar based on our Bar Code Pay for retailers and restaurant Large owners sales Encourage a wide range of SMEs, individuals, and April 2020 Already small business owners Full-scale introduction by Mie pref. adopted

Market with potential users of cashless payments Accelerate use of Small sales Bar Code Pay OrigamiPay Promotion Seminar Ranked low in sales 4 Improving Brand Power Using ICT

Number of tourists Tourist spending in Mie pref. Mie pref. total (based on (1,000 (100 million yen) nationwide standard) people) 45,000 6,000 42,605 Marked record high sales in 5,338 Ise Shrine 42,195 tourism-related market 5,273 Shikinen Sengu 41,892 4,897 40,799 3,968 40,000 4,000 3,840 37,868 Ise-Shima 3,359 39,212 Summit 2,684 38,243 35,000 2,000

Marked record high even after Ise-Shima Summit

30,000 0 2012 2013 2014 2015 2016 2017 2018 2012 2013 2014 2015 2016 2017 2018 * Prepared based on estimated number of tourists (Mie pref.) * Prepared based on Tourist Spending by Prefecture (Mie) by Tourism Agency Introduces MaaS, a next-gen moving vehicle using ICT Search optimum routes Shima city (venue of Ise-Shima Summit)

High-potential tourist destinations and attractions Dedicated app One-stop Cashless Experimental tests of next-gen moving vehicle MaaS reservation payment started New transport system Recommendation of unique Mie pref. Shima city Develop search, reservation, travel plans settlement apps Travel more conveniently and Collaboration comfortably with smartphone Railway Tourism Promotion of self-produced and developed travel plans and bus association For strengthening the tourism brand 5 Opportunities Developed by Adopting ICT Aggressively as a Leading Manufacturing Prefecture

Mie as a center for manufacturers Mie Prefecture’s manufactured goods Economic activities by production type by prefecture Agriculture & Fishery Manufacturing Construction Wholesale and retail Transportation Information & Communication Services Other shipments by industry in Japan 8th in transportation Manufacturing machinery shipment Mie Transportation 1 4 8 5 2 10 31 pref. 39 machinery shipment Three manufactured goods Manufacturing accounts for twice the national shipment sectors account for Other 42% 23% average 60% of prefectural total

Manufacturing Electronic device National No. 11 in chemical 1 6 14 5 5 14 34 machinery 19% average industry shipment 21 No. 1 in electronic parts & Chemical, petroleum, devices and electronic circuits and coal16% 0% 20% 40% 60% 80% 100% shipment Source: Data from Gross Domestic Product classified by Source: Data from 2018 Industrial Statistics (preliminary) Economic Activities (FY2016) (percentage distribution) Mie Prefecture’s industrial measures 10 years ahead Measures set by Mie in Nov. 2018 Mie Prefecture’s Vision for Industrial Promotion Use technology such as AI, IoT, and big data

Adaptation to fourth industrial revolution by manufacturers Next-gen Next-gen materials automobiles Promote smart factory and cultivation of ICT personnel From 2019 Electronics-related Aerospace-related Added two more categories eligible for corporate investment promotion subsidies Next-gen automobile development ■ Healthcare Increase added value of ■ Transformation to smart factories SME manufacturers 6