With Tokyo preparing to host the Olympics in 2020, Japan plans to work with U.N. bodies and nongovernmental organizations to discourage violent extremist groups from taking hold in Asia, government sources say.

The plan centers on supporting women and young people in the areas of business and education to combat poverty, a potential driver of terrorism, the sources said Wednesday.

The initiative is aimed at countries such as Indonesia and Bangladesh, which are thought to be recruitment targets for the Islamic State group, they said.

Funds for the initiative were allocated in the third supplementary budget for fiscal 2016 ending March that was approved by the Cabinet on Thursday.

The potential for terrorism to spread throughout Asia was one of the issues Abe raised at the Group of Seven leaders summit in Mie Prefecture in May.

A source close to the Foreign Ministry said the initiative will serve as a "Japanese-style, soft deterrence to terrorism" by focusing on encouraging stable societies rather than military action. The support for women and young people is aimed at empowering moderate Islam, serving as a counter to extremism.

The government will work with the U.N. Office on Drugs and Crime, the U.N. Development Program and local nongovernmental organizations to deliver the assistance, the sources said.

The assistance will include counseling for newly released prisoners amid concern prisons are becoming recruiting hotbeds for extremist groups. It will also include support for school fees and entrepreneurship among women and young people in areas deemed vulnerable to extremism, the sources said.

Japan's plan also includes the provision of the G-7 nations' counterterrorism expertise throughout Asia, based on an action plan the G-7 leaders adopted at their May summit.

The plan included enhanced border controls through joint drills and training for immigration, customs and security authorities.