Analysis: How will Japan's economy fare in 2026?

Japan's economy is facing mixed signals as 2026 gets underway. Stock market optimism, persistent inflationary pressure, and widening economic gaps will shape the year ahead. NHK Deputy Chief Commentator Iida Kaori breaks down the key forces likely to influence the economic outlook — from wages and prices to interest rates and global risks. *This piece originally aired on NHK NEWSLINE on January 7. It has been edited for brevity and clarity.