Arts patronage and promotion by the government are broadened to include a new cooperative effort with corporate Japan to provide funding beyond the tight budget of the Agency for Cultural Affairs. Many other public and private institutions participate, especially in the burgeoning field of awarding arts prizes. A growing number of large corporations join major newspapers in sponsoring exhibitions and performances and in giving yearly prizes. The most important of the many literary awards given are the venerable Naoki Prize and the Akutagawa Prize, the latter being the equivalent of the Pulitzer Prize in the United States.
In 1989 an effort to promote cross-cultural exchange led to the establishment of a Japanese "Nobel Prize" for the arts, the Premium Imperiale, by the Japan Art Association. This prize of US$100,000 was funded largely by the mass media conglomerate Fujisankei Communications Group and was awarded on a worldwide selection basis.
A number of foundations promoting the arts arose in the 1980s, including the Cultural Properties Foundation set up to preserve historic sites overseas, especially along the Silk Road in Inner Asia and at Dunhuang in China. Another international arrangement was made in 1988 with the United States Smithsonian Institution for cooperative exchange of high-technology studies of Asian artifacts. The government plays a major role by funding the Japan Foundation, which provides both institutional and individual grants, effects scholarly exchanges, awards annual prizes, supported publications and exhibitions, and sends traditional Japanese arts groups to perform abroad. The Arts Festival held for two months each fall for all the performing arts is sponsored by the Agency for Cultural Affairs. Major cities also provides substantial support for the arts; a growing number of cities in the 1980s had built large centers for the performing arts and, stimulated by government funding, were offering prizes such as the Lafcadio Hearn Prize initiated by the city of Matsue. A number of new municipal museums were also providing about one-third more facilities in the 1980s than were previously available. In the late 1980s, Tokyo added more than twenty new cultural halls, notably, the large Bunkamura built by Tokyu Group and the reconstruction of Shakespeare's Globe Theatre. All these efforts reflect a rising popular enthusiasm for the arts. Japanese art buyers swept the Western art markets in the late 1980s, paying record highs for impressionist paintings and US$51.7 million alone for one blue period Picasso.