Japan household spending in 2023 posts first fall in 3 years

Latest government figures show household spending in Japan fell in 2023 for the first time in three years. Families cut back on food purchases in the year as inflation drove up prices from 2022.

The survey by the internal affairs ministry shows households with two or more people spent a monthly average of 293,997 yen in the year, or about 2,000 dollars.
That represents a 2.6 percent decline in yen terms from 2022 when adjusted for inflation.

By items, spending on food fell 2.2 percent, while expenditures on education dropped 9.8 percent. The declines are attributed to price inflation and attempts by families to curb spending as a result.

In December, Japanese household spending dipped 2.5 percent on year in real terms, marking the tenth consecutive month of declines.