Initiative overview
The Digitalization & AI Introduction Subsidy 2026 is the 2026-cycle successor to the IT Introduction Subsidy (IT導入補助金), Japan's primary SME digitalisation grant since 2017. For the 2026 cycle, the programme was renamed to explicitly incorporate AI, reflecting a strategic shift by the Small and Medium Enterprise Agency (SMEA) and METI towards prioritising AI adoption. The programme subsidises the purchase of pre-registered software and tools from a registry maintained by the secretariat (SMRJ), with AI-enabled tools explicitly prioritised and flagged with a dedicated AI filter for 2026. Applications are handled through accredited IT Introduction Support Businesses, who serve as mandatory implementation partners. The programme offers four streams: a Standard Stream for business process digitalisation; an Invoice Stream for e-commerce and invoice-compliance tools; a Security Stream for cybersecurity services; and a Multi-Party Stream for consortia of 10 or more SMEs pursuing joint DX initiatives. Grant amounts under the Standard Stream range from JPY 50,000 to JPY 4,500,000, covering 50% of costs for standard SMEs and up to 80% for micro-enterprises. A new wage growth requirement introduced for 2026 means repeat applicants must demonstrate a pay increase plan, with partial repayment triggered if targets are unmet. Multiple application rounds run throughout the year from 30 March 2026.
