Japan's average land price rises for fifth straight year

Japan's average land price rose 2.8% from a year earlier as of Jan. 1, marking the fifth straight year of increase, the land ministry said Tuesday.

The Ministry of Land, Infrastructure, Transport and Tourism announced on Tuesday, March 17, 2026, that Japan's average land price stood 2.8% higher as of January 1 compared to a year earlier. This marks the fifth consecutive annual rise. The data, published by the land ministry, highlights ongoing trends in the Japanese real estate market amid keywords such as Tokyo tourism, BOJ, earthquakes on the Noto Peninsula, Ishikawa earthquake, inflation, and housing. The nationwide average underscores steady growth without specifying regional breakdowns in the available report.

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Japan's headline consumer price index rose 1.5% year-on-year in March, up from 1.3% in February and above the 1.4% market consensus. Core inflation, excluding fresh food, climbed to 1.8%, marking the first acceleration in five months. The data persists despite government subsidies aimed at curbing prices.

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A leading indicator of Japan's services sector prices rose 2.6% in January from a year earlier, matching December's gain. The data signals that rising wages from a tight labor market continue to exert inflationary pressure on the economy. Bank of Japan figures released on Wednesday highlight this trend.

Investors in Tokyo remained on edge for a second straight day amid ongoing US-Israeli strikes on Iran, causing Japan's Nikkei share average to fall. Rising crude oil futures and a weaker yen fueled concerns over accelerating inflation. This uncertainty weighed on the equity market overall.

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