Japan Leading Economic Index Rises to Near 4-Year High
2026-05-12 05:04
By
Chusnul Chotimah
1 min. read
Japan’s leading economic index, which gauges the outlook for the months ahead using indicators such as job offers and consumer sentiment, increased to 114.5 in March 2026 from a slightly downwardly revised 113.2 in the previous month, preliminary estimates showed.
It was the highest level since April 2022, underscoring a gradual improvement in the economic outlook.
Tokyo’s large-scale stimulus program, designed to bolster household spending and stabilize growth, helped lift the index despite intensifying cost pressures caused by rising fuel prices linked to the war in Iran.
As a result, retail sales rebounded in March after declining in February.
However, the labor market eased, with the unemployment rate rising to 2.7%, and employment falling by 120 thousand to an 11-month low of 65.15 million.
Consumer confidence also weakened to its lowest level since April 2025.