An Indian restaurant owner who has spent nearly 30 years building his life in Japan now faces deportation after authorities rejected his visa renewal application, throwing renewed attention on Japan’s sweeping immigration overhaul and its impact on long-term foreign entrepreneurs. 

Manish Kumar, who runs an Indian restaurant in Japan’s Saitama Prefecture, broke down during a protest rally in Tokyo after being informed by Japan’s Immigration Services Agency (ISA) that he would have to close his 18-year-old business and leave the country. 

Kumar’s emotional appeal has resonated widely because his family’s roots are now firmly tied to Japan. His children were born and raised there, speak only Japanese, and have spent their entire lives in the country. “What am I supposed to do?” Kumar reportedly asked during the protest, underscoring the uncertainty faced by many long-term foreign residents under Japan’s new immigration framework. 

Visa overhaul sparks fear among foreign entrepreneurs 

Kumar’s case comes in the wake of major reforms to Japan’s business manager visa system that took effect in October 2025. The revised rules were introduced as part of a broader effort by the Japanese government to crack down on alleged misuse of the visa route by applicants seeking long-term residency without operating sustainable businesses. 

The impact has been dramatic. 

According to figures cited by the Japan Times, business visa applications reportedly collapsed by nearly 96 per cent after the changes came into force — plunging from around 1,700 monthly applications to just 70. 

Japanese authorities argue that tighter scrutiny is necessary to preserve the credibility of the immigration system and prevent shell businesses or fraudulent enterprises from exploiting residency pathways. But critics say the measures are disproportionately hurting legitimate small business owners who have spent years contributing to local economies. 

What changed under Japan’s new visa rules? 

Under the revised framework, foreign entrepreneurs seeking a business manager visa — or even renewal of an existing one — now face significantly tougher requirements. 

Among the most notable changes: 

• Sixfold increase in capital requirement: The minimum capital investment threshold has jumped sharply from 5 million Yen to 30 million Yen, roughly equivalent to Rs 2 crore. 
• Mandatory hiring rules: Businesses are now required to employ at least one full-time local worker, adding fresh pressure on smaller enterprises already operating on thin margins. 
• Japanese language requirements: Applicants or their designated staff members must demonstrate Japanese language proficiency, typically at the JLPT N2 level. 
• Tougher operational scrutiny: Authorities have also tightened compliance checks. Home offices are no longer accepted, while business plans require formal certification and deeper scrutiny of tax records and management history. 
• Small businesses fear being pushed out: For many foreign entrepreneurs who established themselves under the older rules, the new framework has created a sudden and potentially insurmountable financial burden. 

Community-run restaurants, retail stores and family businesses — many of which serve immigrant populations while also contributing to local Japanese neighborhoods — now fear they could disappear if they fail to meet the revised standards.

Published on: May 18, 2026 8:30 AM IST