Japan household spending slides 0.1% in FY2024

Inflation has taken its toll on household spending in fiscal 2024, with overall consumption dropping for a second straight year. As prices rise, consumers are cutting back on non-essential items like vegetables, meat, and fruits while seeing some categories like rice increase due to price hikes. Transport and communication costs also fell as vehicle shipments dropped amid scandals. Despite these drops, average monthly spending reached ¥304,178 in March, up slightly from the previous month, marking a rare rise after two months of decline. Meanwhile, food支出 remained relatively stable, while entertainment spending rose due to increased demand for personal computers.