22.01.202623:30:00UTC+00Japan's National Core CPI Falls to 2.4% in December, Signaling Reduced Inflationary Pressure

Japan's national core Consumer Price Index (CPI) saw a notable decrease in December 2025, as the rate of inflation slowed significantly to 2.4% from the previous 3.0% recorded in November 2025. This development comes at a time when Japan has been closely monitoring inflation trends, seeking stability in its economic recovery. The figures were updated on 22 January 2026.

The core CPI, which excludes volatile food prices, is a critical measure of underlying inflation trends. A year-on-year comparison reveals that the actual rate for December 2025 shows the current inflation rate in stark contrast to the same period one year earlier. This downward shift in the inflation rate may suggest that Japan's economic measures to control inflationary pressures are having the desired effect.

Economists and policymakers will be watching these developments closely, as Japan aims to maintain a delicate balance between sustaining modest inflation to stimulate economic activity and preventing overheating that could strain consumers and businesses. This latest data could prompt further discussions about monetary policy adjustments in the coming months.