Japan's nominal gross domestic product in 2023 amounted to 4.21 trillion dollars (3.9 trillion euros) This means that Japan is now only the fourth largest economy in the world economy after Germany with 4.46 trillion dollars. In the October to December quarter, Japan's economy shrank by 0.1 percent compared to the previous quarter, the second quarter in a row.
The most important reason for the economic weakness is weak domestic demand. Experts expect a further decline in economic output in the first quarter of 2024 due to falling exports.