Japan's GDP up 0.2% YoY in Q4 2025

16 Feb '26
1 min read
Japan's GDP up 0.2% YoY in Q4 2025
Pic: Shutterstock

Insights

  • Japan's GDP rose at a 0.2-per cent YoY and 0.1 per cent quarter on quarter (QoQ) in Q4 2025.
  • In Q3 2025, the economy contracted at 2.3 per cent YoY.
  • Full-year growth was 1.1 per cent, the fastest expansion since 2022.
  • Private consumption—more than half of the country's GDP—rose by 0.1 per cent QoQ in the quarter.
  • Domestic demand remained fragile as inflation remained high.
Japan’s gross domestic product (GDP) rose 0.2-per cent year on year (YoY) and 0.1 per cent quarter on quarter (QoQ) in the fourth quarter (Q4) last year.

In Q3 2025, the economy contracted at 2.3 per cent YoY.

Full-year growth was 1.1 per cent, the fastest expansion since 2022, according to domestic media reports.

Private consumption—more than half of the country’s GDP—rose by 0.1 per cent QoQ in the quarter. Capital investment grew by 0.2 per cent, while exports and imports both fell 0.3 per cent in Q4 2025.

Domestic demand remained fragile as inflation remained high. Average inflation last year excluding fresh foods and energy was 3 per cent.

Fibre2Fashion News Desk (DS)

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