AI Data Insight
Japan's nominal private consumption in Q4 2025 increased by 1.06% quarter-on-quarter to 355.8 trillion yen, significantly higher than the previous 352.0 trillion yen. Benefiting from a recovery in corporate investment and government fiscal stimulus to alleviate inflation, both real private consumption and overall GDP were revised upward, successfully avoiding a technical recession. Looking ahead, wage growth and government subsidies will be key to supporting domestic demand, but attention must be paid to potential interference from U.S.-Japan trade policies.