Abstract Some twenty years ago, the Trilateral Commission organized a project on ‘governability’ of democracies. At that time, North American and West‐European democracies were facing serious crises of governability. while Japan was not. Now, although Japanese democracy is not in total crisis, but is facing new tasks to be tackled as a ‘major industrial democracy.’ Homogenization of economic institutions among major industrial countries is functionally inevitable in an age of globalized economy. Political reforms to enhance it are urgently required. Burden sharing for world democratic governance is posing serious tasks to Japan as a ‘civilian power.’ Although it is certain that Japan will remain as a democracy for any foreseeable future, but her governability in the sense of the capacity to contribute to world democratic governance is now, and will be, put on severe trial fo