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How Did Japan Overcome Deflation?


31.03.2025 11:32

For years, Japan struggled with falling prices, weak demand, and stagnant incomes. However, the tide has turned - deflation has given way to inflation, and the economy is showing signs of growth.

We analyzed the key drivers behind this shift: the role of monetary policy, government stimulus, and labor market changes. A crucial factor was the wealth effect - rising asset values that boost consumption and investment.

How long will this trend last, and what risks remain? The answers are in our new analytical report. 


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Teniz Capital Investment Banking JSC recommends to carefully assess the feasibility and risks of investments, taking into account the volatility of market conditions. Ownership of securities and other financial instruments is associated with fluctuations: their value can both increase and decrease. The Company cannot guarantee the profitability of investments and a constant level of income.

Licence ARKFMD No. 3.2.249/19 dated 18.05.2023. Licence ARKFMD No. 4.3.19 dated 16.06.2023.