Nikkei 225 finishes up 43.9% in FY2023

The Nikkei 225 closed above 40,000 on the last trading day of the fiscal year, which ends in March, gaining over 40 percent from a year ago.

The benchmark stock index ended at 40,369 on Friday, rising 43.9 percent from the previous year's ending figure of 28,041.

Share prices and company earnings at the fiscal year-end are watched closely by investors and pension managers.

The Tokyo Stock Exchange in March 2023 required listed firms to disclose specific measures for boosting share prices.

This stimulated buying mainly by overseas investors, with growing expectations for corporate management reforms.

Another factor was the yen's depreciation over the past year. The Japanese currency this week slid to a 33-year low against the dollar.

Earnings among businesses were also strong as they were able to pass on higher costs to their customers.

Share prices rose further after the New Year. The benchmark index in February exceeded the all-time high marked in 1989 at the peak of the bubble economy.

It topped the 40,000 mark for the first time in March.