A group of government officials and private-sector experts concluded their first economic study of the four disputed islands off Hokkaido, saying possibilities had been spotted for joint activity with the Russians.

"I am seeing big potential for future development," said tour leader Eiichi Hasegawa, a special adviser to Prime Minister Shinzo Abe, at a news conference on Saturday upon returning to Nemuro, Hokkaido.

The isles, Etorofu, Kunashiri, Shikotan and the Habomai islet group, are held by Moscow but claimed by Tokyo.