Integrated report 2024

Integrated Report 2024 C O N T E N T S

Editorial Policy

INTRODUCTION

01 Our Target Form That the 77 Bank Group Aims for Over the Long Term/Contents

02 Bank Creed/"Vision 2030"

Top Message

06 Message from the President

The 77 Bank has prepared "THE 77 BANK INTEGRATED REPORT 2024" to

help investors and other stakeholders understand the Bank's efforts for sustainable value creation.

In editing this report, we have referred to the IFRS Foundation's "International Integrated Reporting Framework" and the "Guidance for Collaborative Value Creation" issued by the Ministry of Economy, Trade and Industry (METI) to provide an integrated explanation of the Bank's business model and sustainable value creation mechanism.

For detailed financial data and other information, please refer to DISCLOSURE 2024 (available on the Bank's website at https://www.77bank.co.jp/).

Bank Creed

The Bank's mission is to absorb funds and create credit by exercising its own creativity based on the principle of self-responsibility, in a spirit of maintaining orderly credit conditions and protecting depositors, and thereby contribute to the growth of the national economy.

In light of such public mission, the Bank shall contribute to the local community while seeking a harmonious balance between self-interest and public interest as a regional bank.

Based on the aforementioned principles, the code of conduct to be observed by any and all persons employed by the Bank is set forth as follows.

1. Elevate the Spirit of Voluntary Service Acknowledge that the Bank's progress goes hand in hand with prosperity in the local community, and seek to elevate the spirit of voluntary service at all times.

2. Improve Creditworthiness

Bear in mind that credit is the Bank's lifeblood, and endeavor to improve credit at all times.

3. Nurture the Spirit of Harmony

Recognize that the spirit of harmony is fundamental to the execution of duties, and strive to nurture such spirit at all times.

Vision 2030

Leading company creating a path to the future

"Vision 2030" sets forth our ideal image for the future of the 77 Bank Group and provides guiding principles for all officers and employees of the Group to come together and work toward, as we look to achieve the management philosophy (Mission) stated in the Bank Creed.

Leading company creating a path to the future

Basic strategies to achieve "our target form"

"Vision 2030" shows the directions to pursue for the sustainable growth of local communities and the 77 Bank Group, based on the purposes of our SDG Declaration such as the revitalization of the regional economy and the promotion of active participation of all people.

Overview of "Vision 2030"

Create the highest level of financial functions and consulting, while also expanding the scope of our businesses in the non-financial sector

Create networks that combine the potential of Miyagi and the Sendai area with influential customers in the Tohoku region as a whole and elsewhere

Deepen capabilities as a leading company (a collection of people with the same aspiration, and a group of companies that act as leaders for local communities)

77 Bank Group direction

We will become the 77 Bank Group that is different from a mere extension of the status quo by focusing on "our target form," enhancing our strengths, improving our weaknesses, and revitalizing our organization.

01

02

03

04

Top Customer Satisfaction Strategy

Double Productivity Strategy

Regional Growth Strategy

Corporate Culture Reform Strategy

Inspire through consulting and digital technologies!

Reform channels and release from the burden of administrative work!

Achieve sustainable growth in the local community!

Virtuous circle of ambition, confidence, and cheerfulness!

Revising Financial Targets and Setting ROE Target (Announced November 2023)

Due to rapid changes in the social and management environment, as well as Groupwide efforts to implement consulting sales, we have made faster-than-expected progress with the main

E n h a n c e !

77 Bank Group strengths

◦Customer base ◦Consulting system

◦Trust from customers and local community

I m p r o v e !

77 Bank Group weaknesses

◦Profitability (low-profitability structure) ◦Cost consciousness (high-cost structure) ◦Competitiveness with other companies

E s t a b l i s h !

Revitalization points

◦Appetite for new challenges ◦Speed and flexibility ◦Cross-organization (vertical, horizontal, diagonal)

financial targets in "Vision 2030." To build a more robust financial base to ensure ongoing contributions to our stakeholders, we revised our financial targets and newly established a target for ROE (consolidated) to implement management that is more aware of returns on capital.

New and revised financial targets under "Vision 2030"

Key factors

An engine (key factors) will be necessary to go beyond our existing trajectory, and unlock a new future.

4

Top Message

We will accurately gauge environmental changes to enhance the value of the 77 Bank Group and our local communities over the medium to long term.

It has now been three years since we started working toward "Vision 2030: Leading company creating a path to the future." Looking back over the previous three years, in terms of our performance we have achieved record-high profits for three consecutive terms. Moreover, in addition to launching 10 new projects in new businesses and sectors, we have engaged in various other initiatives such as optimizing our branch network. As a result, we have achieved a more robust

management structure and enhanced the level of our offensive and defensive strategies. I believe this has given our officers confidence that with hard work, anything is possible. We are now entering the next stage of efforts to achieve "our target form" for FY2030. Building on our momentum to date, our aim is to further enhance the level of our activities in every field throughout the 77 Bank Group.

With the reclassification of COVID-19 as a Class 5 disease in 2023, economic activity is gradually returning to normal. While regional banks were very much in the clutches of the pandemic, it was also a time in which the significance of regional banks' roles in underpinning regional economies was reaffirmed. In the post-COVID society, we will provide comprehensive, side-by-side support for businesses' restructuring projects and financing needs.

In the financial environment, with a return to positive short-term interest rates and other monetary policy changes by the Bank of Japan, I believe we are finally returning to a sense of normality. As the economy recovers, while stable and continuous price increases will be important to create a virtuous economic cycle, the current price increases are the result of global inflation and a weak yen. Another major challenge moving forward will be personnel shortages, and so for the Japanese economy to continue to grow, it will be essential to link improvements in productivity

to wage increases.

In our main base of operations in Miyagi Prefecture, alongside the start of operations at the world-class synchrotron radiation facility "NanoTerasu" in April 2024, developments are ongoing with the Sendai Urban Restructuring Project in central Sendai, which is the heart of economic activity and interaction in the prefecture, and as such we expect even further growth in economic activity.

Moreover, with the major Taiwanese semiconductor manufacturer PSMC announcing its plans to build a new plant in Miyagi Prefecture, we also expect an increase in suppliers, a growing local population, the creation of wealth, and a rise in opportunities to communicate information both domestically and internationally. This is a huge business opportunity not only for Miyagi Prefecture but for the whole Tohoku region, and at the 77 Bank Group we will do everything we can to help regional economies flourish.

Top Message

Reconfirming Our Starting Point

2024 we became the first in the banking industry to adopt and begin use of an open platform enabling the flexible selection of different hardware and software as

through one-on-one meetings, we will aim to enhance our organizations' and individuals' thirst for growth. These reforms are already bearing fruit in our

As we transition to a new phase marked by an inflationary economy and rising interest rates, rather than responding through an extension of our initiatives to date, it is paramount that both our organizations and individuals go one step further. To do so, it is important that we return to the starting point of "Vision 2030," which we formulated using a back-casting approach. In April 2024, the fourth year of the process, I again explained the background to the formulation of "Vision 2030" to all officers and employees.

future vision for the 77 Bank Group, and will guide us toward the fulfilment of our management philosophy. If we were to formulate targets and measures as simply an extension of our current initiatives, we would become a company lacking in growth, development, and ambition.

As such, based on our strong desire to respond to contemporary trends and transform into an ever- growing corporate group, we have put together "our target form," deciding what is required for us to achieve

our core system.

Our fifth achievement was corporate culture reform. Although the priority issues in these reforms are diversity, endeavor, and communication, in April 2023 we implemented drastic reforms to our personnel systems. While working to establish these reforms

performance and in our reputation among customers, regional public bodies, and other banks. Our corporate culture and employees' mindsets are gradually changing, and the results are steadily coming to the surface.

"Vision 2030" outlines our main course of action and important targets as we work toward the ideal

these ideals, and showcasing our desire for change.

Distribution of Management Resources

Creating a Platform for the Next Stage of Growth

To become a leading company, we have set out four strategies: the top customer satisfaction strategy, the double productivity strategy, the regional growth strategy, and the corporate culture reform strategy.

I would now like to explain our main achievements in FY2023.

First, our Finance & Consulting business model has spread throughout the Group and we are beginning to see signs of change. Customers carefully select the banks they deal with to ensure they are completely satisfied. As such, it is essential that we constantly think from the customer's standpoint and p r o v i d e u s e f u l s e r v i c e s t h a t e x c e e d t h e i r expectations. The fruits of our efforts can also be seen in our performance, with integrated consulting sales via our headquarters, branches, and Group companies leading to an increase in interest on loans and bills discounted, as well as fees and commissions.

Second, we have successfully developed new markets. In addition to increasing the number of high- quality clients from outside the prefecture and creating new business opportunities, in August 2023 we established the Utsunomiya Corporate Office to connect companies with an interest in Sendai, Miyagi, and Tohoku with local companies, and in turn revitalize their respective regional economies. Moreover, in line with the Aomori Corporate Office's upgrade to the Aomori Branch in September 2022, we are enhancing our support for clients to help them tackle their issues and conducting information-based sales, and transactions are steadily increasing.

Our third achievement is the progress we have made with our new businesses and sectors .

Specifically, we established 77 Insurance Service in March 2024 and launched our marriage consultation business in April 2024. Our aim is to diversify the income streams of the 77 Bank Group while addressing regional issues. At the same time, however, we believe that examining new business opportunities helps to enrich the ideas of officers and employees and develop their spirit of endeavor. M o r e o v e r , i n M a y 2 0 2 4 w e a n n o u n c e d o u r preparations to establish a local subsidiary in Singapore and our establishment of an outsourcing subsidiary, and successfully launched 10 new projects as per our initial targets. Both of these new businesses will help to increase the range of support services on offer for our clients, and we will ensure that we prepare thoroughly for the start of operations.

Fourth is our progress in digitalization. We have proceeded with our so-called "branches within branches" measures in line with changes in customer behavior and the spread of indirect channels, and are using the extra personnel and time for sales promotion activities. Further, to maintain and improve our levels of customer service, we have installed branch tablets at all our branches to enable various paperless and seal-less transactions. In addition, we have updated and added various functions to the 77 Bank app to improve the convenience of our indirect channels.

In terms of the joint-use MEJAR system, in January

(1) Top Customer Satisfaction Strategy

In FY2024, it is important that we engage in sales activities while keeping in mind an inflationary e c o n o m y a n d r i s i n g i n t e r e s t r a t e s . A s o u r management environment changes, we recognize that our regional customers are facing various issues related to human resources, equity, the use of digital technologies, and expertise, for example. To ensure our Finance & Consulting business model is a success, we will make full use of the Group's regional information, domestic and international networks, and partner collaboration to, in turn, address our customers' issues.

For individual customers, in line with the government's "Doubling Asset-based Income Plan," we are supporting asset formation and regional financial literacy improvements. In addition to promoting the new NISA scheme, we will proceed with life plan consulting through our new subsidiary 77 Insurance Service. In doing so, while supporting customers' asset formation activities, we will reinforce Groupwide stock-based income.

Moreover, we will work to reinforce Group businesses to establish a third income pillar after the customer sales department and marketable securities trading department. Elsewhere, when looking at long- term trends in Group company performance, there has been a lack of major growth with largely flat progress in the last 10 years. In line with this, we have reviewed the nature of "Vision 2030" for each Group company

and established the Group Business Strategy Committee for the integrated reinforcement of Group governance. While combining the specialist solutions of each Group company to capture business opportunities, we will work to achieve positive results throughout the Group.

Further, with headquarters, branches, and Group companies working together, we will increase the scope of consulting services provided by the 77 Bank Group, inspiring customers with our optimal solutions while at the same time boosting Group income.

A key role of financial institutions, who are an important part of social infrastructure, is to protect customers' assets from financial crimes such as bank transfer scams and fraudulent online banking

Top Message

transfers. It is therefore also important that we reinforce our response to cybersecurity and improve both convenience and safety. Through initiatives such

(2) Double Productivity Strategy

With low birthrates, aging societies, and declining populations, improving productivity is essential for the sustainable growth of the 77 Bank Group. While improved productivity tends to be thought of as greater efficiency and reduced expenses, there is in fact much more to it. In labor productivity, the numerator is the amount of added value and profit, and the denominator is the number of employees and working hours. It is an indicator for which the higher the number, the better the outcome. As such, it is essential to take a two-pronged approach to improving productivity: a review of operational processes to optimize human resources, time, and other management resources, and the reinforcement of top-line growth.

To provide integrated consulting sales via our headquarters, branches, and Group companies, we will promote a review of operational processes and a

as these, we will work to gain the trust of clients and regions, enhance their satisfaction, and improve the brand image of the 77 Bank Group.

reduction in administrative work at our banks, and aim to free up our branches from administrative work to transform them into locations predominantly for consulting sales. Moreover, the use of digital technologies will also be key to achieving greater efficiency, and to cater to an increasingly cashless society, we will aim for the further promotion and improvement of the 77 Bank app and the 77 Business Portal.

As for the optimization of our branch network, by shifting our management resources through our branches within branches measures, in addition to reducing expenses we will aim for greater sales efficiency and human resource development through more centralized operations. Moving forward, we will continue with examinations from various angles in line with market characteristics and regional circumstances.

(3) Regional Growth Strategy

Since 2016 for regional revitalization, the 77 Bank Group has been working on four key items of implementation: Support for founding and new businesses; support and development of regional core companies; promotion of urban development; and support for promotion of tourism, etc.

In January 2020, we established the "Miyagi Wide- area PPP Platform" (MAPP), taking the role of secretariat and forming comprehensive cooperation agreements with all regional public bodies in Miyagi Prefecture, government-affiliated financial institutions, and local universities. Through these agreements, we have been consolidating the expertise of each domain of specialization to implement various revitalization projects to improve sustainability in local communities.

(4) Corporate Culture Reform Strategy

Human resources are the most important capital of the 77 Bank Group. We believe that the workplace culture changes and the organization gets stronger as each person grows and encourages and competes with one another to improve. In FY2024, while further establishing our new personnel system, we will promote diversity and aim to create an even more fulfilling and satisfying place to work. For the past three years we have hosted a business planning contest. We believe that independently thinking about new businesses helps to improve business acumen and management awareness. The theme for this year's contest is DX, and we look forward to developing an awareness of problems and uncovering any issues. By enriching our employees' ideas, we hope to enhance their spirit of endeavor.

Investment in our human resources will also be key . A l t h o u g h t o d a t e w e h a v e encouraged all employees to e n h a n c e t h e i r D X - r e l a t e d expertise, in the future we will also p r o m o t e u n d e r s t a n d i n g o f sustainability and link this to dialog with our clients. Moreover, in terms of the development of specialist human resources, we are focusing on dispatching our personnel to various different industries. By feeding back the expertise and knowhow they

In the future, in addition to responding to business succession issues facing our region, we will work to support and develop medium-sized enterprises, produce listed companies, and uncover promising startups by combining the 77 Bank Group's resources with those of external institutions, in turn contributing to the creation of an attractive region.

These efforts will be overshadowed by low birthrates, aging societies, and declining populations, and so we will further accelerate regional growth with the knowledge that the 77 Bank Group cannot grow and develop without the development of local economies. Various regional development projects are already underway, and by taking the lead in these projects, we will fulfill our important role in trailblazing the development of Miyagi and Tohoku.

develop through this external experience, we will aim to boost the overall level of the organization.

For us to become a leading company, it is essential that both our headquarters and branches enhance their thinking capabilities. While engaging in dialog and holding discussions on various issues and questions, it is important that, ultimately, each individual comes up with their own solutions to make the right decisions. Having all our officers and employees develop solutions with strategies and approaches unique to the 77 Bank Group will take us one step closer to becoming a leading company.

Top Message

The 77 Bank Group's Value Enhancement

society, we will lead the way for our clients and region through support for CO2 emissions calculations and reductions, transition financing, and initiatives related

to the Ministry of the Environment's regional decarbonization engagement program.

To respond to the Tokyo Stock Exchange's request for action to implement management that is conscious of cost of capital and stock price, it is essential that we engage in initiatives to improve PBR. Our current PBR is below 1, and so as a listed company

policy of return of profits to shareholders, targeting a dividend payout ratio (consolidated) of 35% or more for FY2025. Through dialog with shareholders and the stock market, we will link these efforts to the enhancement of our corporate value.

The Roles We Must Fulfill

this request has provided us with an opportunity to once again recognize the importance of enhancing our corporate value through dialog with the stock market.

Following discussions at a Board of Directors meeting aimed at enhancing our corporate value, in November 2023 we revised the financial targets in "Vision 2030." In addition to a new target for FY2030- ROE (consolidated) of 7% or more-we revised our

Moving forward, while enhancing profitability and maintaining the soundness of our capital, for the sake of our shareholders it will be important to drive the growth of the 77 Bank Group and return profit to them. Based on the growth strategy set out in "Vision 2030," we will aim to increase profitability, improve management efficiency, and enhance our corporate value.

With the Nikkei Average reaching a 34-year high of more than 40,000 yen and a return to positive short- term interest rates in line with changes in the Bank of Japan's monetary policies, there have been drastic changes in the environment surrounding financial institutions. On the other hand, with changes in political and economic situations overseas and inflation and labor shortages in Japan, for example, there has been a rise in the number of corporate bankruptcies.

services in a stable manner and continue to demonstrate our financial intermediary functions. At the same time, we must reinforce our consulting functions and drive growth in our region and among our clients.

By working as a Group to steadily implement the measures in "Vision 2030," we believe we can pioneer a brighter future for our local communities and customers. We will do everything we can to meet the expectations of our customers, region, and

Progress of Sustainability Management

As a regional financial institution, it is precisely in situations like these that we must provide financial

shareholders, and we ask for your continued support and patronage as we proceed.

Since its founding, the 77 Bank Group has worked as one to address its important issues (materiality) in line with the philosophy of the Bank Creed: Desiring communal prosperity and serving local communities. Moreover, based on this materiality, the Group has worked toward the achievement of a s u s t a i n a b l e s o c i e t y t h r o u g h s u s t a i n a b i l i t y management.

At the Board of Directors, there has been an increase in sustainability-related discussions, and there is a real sense that the scope of sustainability issues is increasing. We have also received valuable advice from our Outside Directors through these discussions, who stressed the importance of thoroughly identifying the Group's resources and strengths and interacting with our clients and region to avoid the simple pursuit of ideals. By thoroughly demonstrating the strengths and individuality of the 77 Bank Group, our mission is to create a virtuous cycle for the Group, its clients, and the region.

Our sustainability initiatives can largely be divided into two. The first is in-Group initiatives, and the second is initiatives for our clients and region.

In terms of in-Group initiatives, to achieve decarbonization in response to climate change, we have set ourselves the target of realizing carbon neutrality by FY2030. Working with Tohoku Electric Power Co., Inc., we have signed an agreement with its

wholly owned subsidiary Tohoku Energy Service Co., Inc. to commence an off-site corporate PPA (self- consignment system) service in FY2024. The service will see solar power generation facilities installed on our unused land supply renewable energy to the head office building and other branches, which will facilitate a 15% reduction in our CO2 emissions compared to FY2023.

In terms of financial education, we believe we can feed back the expertise we have as a financial institution to our region. Through lectures at local universities and classes at local elementary schools, we will provide the youth of the next generation with opportunities for financial education.

The new 10,000-yen note that went into circulation in July 2024 features Eiichi Shibusawa, an individual who supported us during our foundation. The 77 Bank Currency and Banking Museum includes numerous exhibits related to Eiichi Shibusawa, and we are very happy to see an increase in the number of elementary and junior high school students visiting the archives via school trips and extracurricular activities.

Another major role for us as a regional financial institution is to promote sustainability among our clients and region. Through workshops and seminars for our clients, we will actively communicate information on sustainability to raise awareness of relevant issues. Moreover, to achieve a decarbonized

Our Path of Continuous Growth

Since its founding in 1878, The 77 Bank has overcome many difficulties and grown steadily while devoting itself to sound management under the management philosophy of "desiring communal prosperity and serving local communities." Aiming to be a leading company creating a path to the future, we will continue to move forward together with our region.

◦2021.12

Established 77 Partners

◦1878.12

Started operations as The 77th National Bank

Head Office at the time of our foundation in 1878 (former Hinoya site)

Co., Ltd.

◦2022.8

Established 77 Human Design Co., Ltd.

◦2022.9

Aomori Corporate Office upgraded to the Aomori Branch

◦1898.3

Name changed to The 77 Bank, Ltd.

Current Head Office

2016.7◦

Established The 77 Capital Co., Ltd.

2016.7◦

Established 77 Securities Preparatory Establishment Co., Ltd.

(trade name changed to 77 Securities Co., Ltd. in January 2017)

2016.9◦

Established the Hachinohe

Corporate Office

A deep connection with Eiichi Shibusawa

Eiichi Shibusawa, a businessman who was known as "the father of Japanese capitalism," had a strong interest in the Tohoku region through Munenari Date, who provided him with the opportunity to enter the Ministry of Finance. At the time, there was no bank based in Miyagi Prefecture and partially for this reason, prior to the opening of The 77th National

Eiichi Shibusawa

Term-end balance of deposits/

loans and bills discounted (Billions of yen)

• Deposits
• Loans and bills discounted

Bank, Shibusawa provided advice on various matters, such as the nature of the banking business and basic management concepts, and guided the establishment of the Bank. Subsequently, he continued to provide investment as a shareholder, and seconded exceptional talent, including Keishi Endo (the second and fourth President) and Seikei Ono (the fifth President) from The Dai-Ichi Bank Limited. Furthermore, Shibusawa provided both material and moral support to the Bank over many years, including through his transfer of The Dai-Ichi Bank Limited's banking business in Miyagi Prefecture to The 77th National Bank and his appointment as Advisor in 1909.

Eiichi Shibusawa's spirit of "harmony of morality and the economy" lives on today in the line from the Bank Creed, which describes the Bank's management philosophy, that states "the Bank's progress goes hand in hand with prosperity in the local community."

In July 2024, Eiichi Shibusawa's portrait was printed on the new 10,000-yen note. He was also set to feature in the issue of new banknotes in 1963, but ultimately the design was not adopted. This rare 1,000-yen note featuring him is on display in the 77 Bank Currency and Banking Museum (4F Head Office; free entry; reservation required), in addition to materials showing his connection with the bank.

1840-1931

Photograph: Fukaya City

1. sample of the rare 1,000-yen note alongside the new 10,000-yen note, on display in the 77 Bank Currency and Banking Museum

Miyagi Prefecture, which is our main business base, is located in the southeast area of the Tohoku region, and is a key transport hub connecting the Greater Tokyo Area with the Tohoku region.

The prefectural capital, Sendai City, which became the 11th city designated by government ordinance in Japan in 1989, is home to the branches of many major companies from across Japan, and functions as a core city in the Tohoku region.

There are various projects underway, including plans for semiconductor-related companies to move to the area, and as such further economic growth is expected.

Total area

7,282km2

(16th in Japan)

Number of households

1,035,949households

1 Expansion by semiconductor companies

SBI Holdings, Inc. and Taiwanese semiconductor giant Powerchip Semiconductor Manufacturing Corporation (PSMC) have jointly established JSMC Corporation, which has finalized plans to construct a semiconductor factory in the Northern Sendai No. 2 Core Industrial Park of Ohira Village, Kurokawa, Miyagi.

Project overview

·Total investment: Roughly JPY 800 bn (equivalent to roughly 8% of the gross prefectural product) ·Production scheduled to start in 2027 with full-scale operations commencing in 2029 ·Employment plans for 1,200 people

Northern Sendai No. 2 Core Industrial Park Image source: Ohira Village website

(14th in Japan)

2 Sendai Urban Restructuring Project

(Project launched by Sendai City in July 2019, to continue through FY2030)

We wish to help Sendai City attain the position of the "town of choice" by improving its urban characteristics, as a place where both the natural environment with abundant greenery and a city function exist in harmony. To this end, we support the remodeling of obsolete buildings and promote their reconstruction in Sendai's central business district, where people interact and conduct economic activities the most. In this way, we will create a virtuous economic cycle by supplying highly functional offices that satisfy companies' needs and attracting enterprises to new offices.

Reconstruction of obsolete buildings and promotion of corporate relocation into the city

·Establishment of "Subsidy System for Promoting Building Reconstruction in Sendai City Center" ·Relaxation of floor-area ratio with a view toward "developing highly functional office" ·Enhancement of business attraction framework and subsidy systems, etc.

Image of Urban Restructuring Project (Sendai Station area) Provided by: Sendai City

3 Start of operation of NanoTerasu, the next-generation synchrotron radiation facility

NanoTerasu is a next-generation synchrotron radiation facility located in the Aobayama New Campus of Tohoku University, which is about 9 minutes by subway from Sendai Station. Operations began in FY2024. Also called "a huge nano-level microscope," the facility can observe and monitor the function of substances and the reaction of elemental surfaces at the atom/molecule level, something that is impossible with ordinary research facilities. It enables the precise analysis of various materials and biological tissues. It is expected to create innovation in the area of research and development of various industries

including chemistry, food products, medical services, pharmaceutical and energy. NanoTerasu not only serves as "a huge nano-level microscope," but also creates

nano-level data that is essential for research and development in various domains in the industrial and academic circles during the DX/GX era. In addition, it is expected to make a considerable contribution to boosting enterprise competitiveness by developing a new dimension of industry-academia cooperation.

Economic ripple effects (estimated by Tohoku Economic Federation)

·JPY 1,901.7 billion over the first 10 years of operation

·Local ripple effects within Miyagi Prefecture is JPY 277.7 billion

·The project is believed to contribute particularly in the areas such as fuel cell, gene drugs and nanocarbon materials Overhead view of the next-generationsynchrotron radiation facility Provided by: Photon Science Innovation Center