As Japan grapples with its worst economic crisis in decades, Prime Minister Sanae Takaichi's controversial remarks have ignited public fury, exacerbating a perfect storm of inflation, currency weakness, and household despair. With the yen hovering near historic lows and staple foods like rice becoming unaffordable luxuries, families nationwide are rationing meals while debt levels climb.
Analysts warn the so-called 'Takaichi-cost' – the compounding effect of policy missteps and political instability – has accelerated price surges since October 2025. A Tokyo supermarket cashier told KhabarAsia: 'We're choosing between electricity and protein this winter.'
The crisis stems from multiple fronts: Japan's debt-to-GDP ratio now exceeds 260%, while the Bank of Japan struggles to stabilize the yen against the dollar. Takaichi's recent comments downplaying food insecurity sparked nationwide protests, with opposition leaders calling for urgent parliamentary intervention.
As the government prepares emergency relief measures, economists question whether Japan can maintain its economic influence in Asia while households battle empty dinner tables. With no quick fixes in sight, 2026 forecasts predict continued turbulence for the world's third-largest economy.
