Fitch Ratings recently affirmed Japan’s long-term foreign currency issuer default rating at ‘A’ with a stable outlook.
It forecasts fiscal deficit to rise to 2.4 per cent of GDP in FY26 from a 33-year low of 1.4 per cent in FY25.
It projects a slight easing in headline inflation to 2.3 per cent by end-2026 from around 3 per cent now.
GDP growth is estimated to moderate to 0.7 per cent in 2026 and 2027.
It forecasts fiscal deficit to rise to 2.4 per cent of GDP in FY26 from a 33-year low of 1.4 per cent in FY25.
It projects a slight easing in headline inflation to 2.3 per cent by end-2026 from around 3 per cent now.
GDP growth is estimated to moderate to 0.7 per cent in 2026 and 2027.
