Revised gross domestic product data showed that Japan's economy grew faster than previously estimated in the fourth quarter of 2025. This was primarily driven by stronger corporate investment.

According to updated estimates, the country's GDP expanded by 1.3% year-on-year in the three months ending December. Previously, the figure was estimated at only 0.2%, but the final figure still fell short of the market forecast of 1.6%.

On a quarterly basis, the economy grew by 0.3%, compared to the preliminary estimate of 0.1%. A significant contribution was made by increased corporate capital spending, which increased by 1.3% for the quarter.

Private consumption, which increased by 0.3%, provided additional support to the economy. Increased household spending was supported by higher wages and strong holiday shopping, although exports remained weak due to US trade restrictions and weakening demand in China.