The government and ruling coalition plan to set up a public-private investment fund worth up to ¥900 billion to support companies with advanced technologies in environmental protection, medical treatment and other areas, according to sources.

The fund will be established as part of the revised industrial revitalization law that cleared the Diet Wednesday.

For the fund, the government has set aside ¥40 billion under its initial budget for fiscal 2009 and an additional ¥42 billion under a supplementary budget for the year that has yet to be approved by the Diet.