Price stability is also necessary for development and should be considered a priority by policymakers, said Hirohisa Kohama, professor in the faculty of international relations, the University of Shizuoka.
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And good policy dialogue between government and business was another key ingredient in Japan's success and recovery after the devastation caused by the Second World War, he told a forum to mark 60 years of diplomatic ties between Japan and Sri Lanka
"But private sector dynamism is key and relations between government and the private sector people is very important."
He said Japan's MITI (ministry of international trade and industry) which was responsible for industrialisation became a common platform to exchange views between the private sector and government policy makers.
There were also communications channels between these two groups at different levels to discuss the requirements of private companies.
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"Based on such talks they implemented a very realistic industrial poli