When Japan’s leader released his economic vision Tuesday, he left out an important date. Prime Minister Fumio Kishida deleted a pledge from earlier government statements calling for Japan’s budget to be balanced by 2025. And he declined to give a date by which Japan would do something to lower its government debt, while promising to significantly increase military spending, the Wall Street Journal reported. It is a bold stance, given that the debt tops ¥1.1 quadrillion or $8.3 trillion at current rates, more than twice the size of the economy.

Bank of Japan Governor Haruhiko Kuroda said on Monday the central bank's top priority was to support the economy, stressing an unwavering commitment to maintaining "powerful" monetary stimulus, Reuters reported. Unlike its U.S. and European counterparts, the BOJ does not face a trade-off between the need to tame inflation and support the economy, as Japan's inflation remains modest and driven by temporary factors such as rising raw material costs, Kuroda said.

Heichinrou, an iconic Chinese restaurant in Japan founded 138 years ago, became the latest establishment to fall victim to the coronavirus pandemic, filing for bankruptcy protection on Thursday, Bloomberg News reported. The restaurant’s main branch, an institution of Yokohama’s famous Chinatown, began bankruptcy proceedings at the request of creditors with total debt likely exceeding 300 million yen ($2.3 million), according to research firm Teikoku Databank.

Japan's jobless rate fell to 2.5% in April, while the availability of jobs increased, government data showed on Tuesday, Reuters reported. The seasonally adjusted unemployment rate was lower than the 2.6% reported for March, which was also the median forecast for April in a Reuters poll of economists. The jobs-to-applicants ratio was 1.23 in April, labour ministry data showed, in line with a Reuters poll forecast and rising 0.01 point from the previous month's 1.22. Read more.

Having long trod a similar path in tackling low inflation, Japan and Europe now appear to be taking contrasting approaches to monetary policy and the risks of rising prices, which drew warnings at this week's Group of Seven gathering in Germany, Reuters reported. Bank of Japan Governor Haruhiko Kuroda repeated his dovish mantra on Friday, saying the recent cost-push inflation will be short-lived and will not warrant withdrawing stimulus.

Last December, after two years of stop-and-go growth, Japan’s economic engine seemed like it might finally be revving up. Covid cases were practically nonexistent. Consumers were back on the town, shopping, eating out, traveling. The year 2021 ended on a high note, with the country’s economy expanding on an annual basis for the first time in three years. But the Omicron variant of the coronavirus, geopolitical turmoil and supply chain snarls have once again set back Japan’s fragile economic recovery.

Japan's wholesale prices in April jumped 10% from the same month a year earlier, data showed on Monday, rising at a record rate as the Ukraine crisis and a weak yen pushed up the cost of energy and raw materials, Reuters reported. The surge in the corporate goods price index (CGPI), which measures the price companies charge each other for their goods and services, marked the fastest year-on-year rise in a single month since comparable data became available in 1981. The gain followed a revised 9.7% increase in March, and was higher than a median market forecast for a 9.4% increase.

Japanese audio equipment maker Onkyo Home Entertainment Corp. has filed for bankruptcy, with some 3.1 billion yen (about $24 million) in total liabilities, the company announced on May 13, the Mainichi Japan reported. The firm, based in the Osaka Prefecture city of Higashiosaka, filed for the commencement of bankruptcy proceedings with the Osaka District Court and its petition was accepted, the company said. Besides its Onkyo brand, the firm also has the "Pioneer" brand under its umbrella. Due to a decline in earnings, Onkyo had been struggling with cash management.

For years, as Japan tried to boost its chronically weak economic growth, it pursued what its central bank saw as a magic formula: stronger inflation and a weaker yen, the New York Times reported. It didn’t quite work as intended. Inflation never met the government’s modest target, despite rock-bottom interest rates and heaps of fiscal stimulus. Workers’ wages stagnated, and growth remained anemic. Now, Japan is suddenly getting what it wished for — just not in the way it had hoped.

Japan's manufacturing activity grew at a slower pace from the previous month in April as supply chain disruptions and strict Chinese coronavirus lockdown measures hurt overseas demand, Reuters reported. Activity in the sector was held up by resilience in output, overall orders and optimism about the year ahead, even as producers grew more wary of persisting price pressures, the Ukraine war, logistics logjams and the global economic outlook.