TOKYO (Dow Jones)--Both corporations and the government in Japan need to increase the use of personal computers on an individual basis in order to improve Japan's overall productivity, as the country will soon be facing a declining workforce and an aging population, Intel Corp.'s (INTC) top executive said Monday.

"To improve the competitiveness of Japan's economy, you need to improve the productivity of your workers much faster than the workforce declines," Craig R. Barrett, chief executive officer of the world's largest semiconductor firm, said at the Global Information Summit in Tokyo.

Barrett cited statistics showing Japan 25th of about 100 countries surveyed by the World Economic Forum and French business school Insead on countries' spending in information technology in relation to their gross domestic product. "There's a lot of room for improvement" for Japan in the area of information technology usage, he said.