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Tokyo Inflation Slows to 2% Amid Price Pressures

1/31/2026

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Story summary
  • Tokyo's core consumer price index rose 2.0% year on year in January, down from 2.3% in December, the slowest since October 2024.
  • The slowdown is attributed to gasoline subsidies and easing food prices.
  • The index excluding fresh food and fuel rose 2.4%, showing ongoing price pressures.
  • Analysts say the Bank of Japan (BoJ) may raise rates in April if prices rise due to a weak yen, pursuing a 2% target.