In recent years, Japan has faced a steady rise in the cost of living. Groceries, utilities, and everyday goods have all become more expensive. The weak yen has pushed up import prices, and businesses have begun passing those costs on to consumers. Even local vegetables and fish — once affordable staples — now cost noticeably more than a few years ago.
For many households, wages have not increased at the same pace as prices. This means that while companies report higher revenues, individuals feel poorer in real terms. Inflation, once thought to be elusive in Japan, has finally arrived — but not in a way that feels sustainable or fair. Without substantial wage growth, the “price normalization” the government hoped for may end up shrinking disposable income and consumer confidence instead.