Economic Overview

 Latest update: March 2024 

In 2022, Japan had a GDP worth 545,794.0 billion JPY. In February 2024, due to a combination of domestic challenges, including economic stagnation, demographic problems and structural vulnerabilities, Japan lost its place as the world's third-largest economy, ranking behind Germany.

The country is also a high-tech powerhouse economy in Asia: in the fiscal year 2023, the expenditures on research and development (R&D) in Japan equated to 3,65% of the country's GDP.

Ministry of foreign affairs of Japan – Japanese Economy
AP News, “Recession: Japan has lost its spot as the world's third-largest economy”, 2024
Statistical Handbook of Japan 2023
Statistic Bureau, Survey of Research and Development, Summary of Results, 2024
World Bank, Exports of Goods and Services (% of GDP) – Japan

Due to the COVID-19 pandemic, the economy actively tumbled in 2020, with governmental debt reaching unprecedented highs, followed by a partial bounce back in 2021, despite some remaining difficulties. Fiscal support in order to address the pandemic and the energy shock has further increased gross public debt to an unprecedented level of almost 245% of GDP in 2022.

OECD, Japan – Economic survey, economic forecast, January 2024

> For an economic overview of each of the 47 prefectures of Japan, please see our dedicated Regions and Prefectures page.


Table of contents

  • Key Indicators
  • EU-Japan Trade Statistics
  • R&D Expenditures
  • COVID-19 Impact
  • Russia-Ukraine Crisis Impact
  • Forecasts
  • Annual Report
  • Further Reading
  • Relevant Organisations
Please log in for full access
Subscribe to
our newsletters

The EU-Japan Centre currently produces 5 newsletters :

  • EU-Japan NEWS - our flagship newsletter covering the Centre's support services, information about EU (or Member States) - Japan cooperation
  • Japanese Industry and Policy News
  • “About Japan” e-News (Only available for EU companies / EU organisations)
  • Japan Tax and Public Procurement Weekly Tender Digest (Only available for EU companies / EU organisations)
  • Tech Transfer Helpdesk Newsletter
1 EUR = 169,940 JPY