Amid efforts for economic recovery, Japan's aging population remains one of the government's most pressing challenges.
According to data released Wednesday by Japan's Ministry of Health, Labour and Welfare, the country's total fertility rate (TFR) fell to 1.20 in 2023, down 0.06 points from 2022. This marks the eighth consecutive year of decline and sets a new historical low.
The total fertility rate is a key measure of a nation's birth levels, representing the average number of children a woman is expected to have during her reproductive years (typically aged 15-49) under current fertility rates.
Regionally, Tokyo's TFR dropped below 1.0 for the first time, hitting 0.99, down from 1.04 the previous year, the lowest among Japan's 47 prefectures. Okinawa, in southern Japan, recorded the highest TFR at 1.60, although this was also a decline from the previous year's 1.70.
The data further revealed that Japan's births totaled 727,300 last year, a 5.6% decrease from the previous year, while total deaths rose to nearly 1.58 million. Consequently, Japan's population declined by 848,700 in 2023, marking the 17th consecutive year of population decrease. These figures exclude migration.
Japan's declining birth rate has been ongoing for 50 years, with only a slight increase in the early 21st century, followed by a steady decline since 2016. Projections indicate that Japan's population will continue to decrease sharply in the coming decades.
As the population ages, increasing social security expenses have exacerbated Japan's already substantial debt burden, which is equivalent to 255% of its GDP. A shortage of young people has led to labor shortages in many industries, intensifying the competition for talent among businesses. Japanese Prime Minister Fumio Kishida has warned that without fundamental measures, Japan risks losing its ability to function normally.
In the current fiscal year, Japan's national budget allocates 37.7 trillion yen (approximately $255 billion) to social security, representing one-third of the total budget.
To boost the birth rate, Japanese media reports that the National Diet has passed a bill to increase child allowances and expand parental leave. Some local governments are even subsidizing egg freezing, and Tokyo plans to launch a dating app to encourage family formation.
