AI Data Insight
In 2025, the contribution of Japan's fixed capital formation to real GDP remained at a low level of 0.1% for the second consecutive year, marking significantly weaker momentum compared to 0.5% in 2023. Although companies are actively investing in automation and digital transformation to address labor shortages, soaring capital goods prices and the weak yen have severely eroded real purchasing power. Consequently, increased nominal investment has failed to translate into real economic support.