Japan's Economic Growth in Q2 2025

Japan's economy has shown a promising sign of recovery, with the gross domestic product (GDP) growing by 0.3% in the second quarter of 2025 compared to the previous quarter, according to preliminary data released by the Cabinet Office on Friday.

This growth marks a significant improvement from the zero growth recorded in the prior quarter, indicating a potential turnaround for the nation's economy.

Annualized GDP Growth and Economic Indicators

On an annualized basis, the GDP rose by 1%, a notable rebound from the 0.2% contraction experienced in the previous period. Additionally, the GDP deflator, which measures price changes across the economy, saw a 3% increase year-on-year, further highlighting the positive momentum.