<DOCUMENT>
<TYPE>EX-99.77B ACCT LTTR
<SEQUENCE>3
<FILENAME>jeqmgtcompliance-0306.txt
<DESCRIPTION>JAPAN EQUITY FUND-MGT. COMPLIANCE 0306
<TEXT>
THE JAPAN EQUITY FUND, INC.
C/O DAIWA SECURITIES TRUST COMPANY
ONE EVERTRUST PLAZA
JERSEY CITY, NJ   07302-3051



Management Statement Regarding Compliance with
Certain Provisions of the Investment Company Act of 1940


We, as members of management of The Japan Equity Fund, Inc.
(the "Fund"), are responsible for complying with the
requirements of subsection (b) and (c) of rule 17f-2, Custody
of Investments by Registered Management Investment Companies,
of the Investment Company Act of 1940.
We are also responsible for establishing and maintaining an
effective internal control structure over compliance with
those requirements.  We have performed an evaluation of the
Fund's compliance with the requirements of subsection (b) and
(c) of Rule 17f-2 as of March 31, 2006, and from October 31,
2005 (the date of our last statement) through March 31, 2006.

Based on this evaluation, we assert that the Fund was in
compliance with those provisions of
Rule 17f-2 of the Investment Company Act of 1940 as of March
31, 2006 and from October 31, 2005 through March 31, 2006,
with respect to securities and similar investments reflected
in the investment account of the Fund.

The Japan Equity Fund, Inc.

By:


/s/ Hiroshi Kimura
Hiroshi Kimura
Chairman


/s/ John J. O'Keefe
John J. O'Keefe
Vice President and Treasurer


12/21/06
Date
</TEXT>
</DOCUMENT>
