TOKYO –
Japan’s economy grew at an annualized rate of 1.8% in the January–March quarter of 2026, according to revised gross domestic product (GDP) data released by the Cabinet Office, with the figure marked down from the preliminary estimate due largely to weaker-than-expected capital investment.
In real terms, which exclude the effects of price fluctuations, GDP expanded 0.5% from the previous quarter. The annualized growth rate was revised down from the preliminary estimate of 2.1%.
The main factor behind the downgrade was capital investment, which was revised from a 0.3% increase in the preliminary data to a 0.7% decline. Spending on software and production machinery was particularly weak, weighing on overall economic growth.
Private consumption, which accounts for more than half of Japan’s economy, remained largely unchanged from the preliminary estimate, rising 0.3% from the previous quarter. Growth was supported by increased spending on dining services and video game software.
The revised figures indicate that while consumer spending remained resilient, weaker business investment slowed the pace of economic expansion during the first three months of 2026.
Source: テレ東BIZ
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