Japan’s financial regulator urges listed companies to use their large cash holdings to fund long-term business investment rather than prioritizing shareholder payouts such as share buybacks and dividend increases. The push is presented as part of broader efforts to redirect economic activity toward expansion and productivity. Bloomberg reports that the regulator is calling on firms to consider shifting capital spending and investment plans accordingly, framing buybacks and higher dividends as less desirable uses of available cash under current policy goals. The Japan Times adds that the initiative aligns with the economic revitalization direction associated with Prime Minister Sanae Takaichi, which emphasizes putting more wealth held by businesses and households to work for growth. Overall, both sources describe a regulatory message focused on changing corporate capital-allocation priorities, encouraging investment spending that supports longer-term development rather than returning cash to shareholders. The articles do not provide specific details on which regulator issued the guidance, the timeframe for compliance, or any enforcement measures.