ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailPositive ArrowIcon Print

Aging Japan faces 25% drop in GDP, IMF warns

Report urges Tokyo to tackle painful economic reforms

More than 20% of Japan's population is now 70 or older.   © Reuters

WASHINGTON -- Japan's gross domestic product could fall by over 25% in the next 40 years as its population declines, the International Monetary Fund said Wednesday, urging the government to boost productivity through structural reform to mitigate the damage.

A rapidly aging and shrinking population "implies a commensurate drag on real output" under current policies, the IMF said in its annual report. The organization consults every year with member countries to get a sense of their economic conditions.

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

Discover the all new Nikkei Asia app

  • Take your reading anywhere with offline reading functions
  • Never miss a story with breaking news alerts
  • Customize your reading experience

Nikkei Asian Review, now known as Nikkei Asia, will be the voice of the Asian Century.

Celebrate our next chapter
Free access for everyone - Sep. 30

Find out more