Japan: Kishida Says Nation 'On the Brink' with Population Decline

Facts

• Japanese Prime Minister Fumio Kishida has said the government will take action to address the nation's declining birthrate, which fell to a record low in 2021. It is "now or never" for Japan, said the political leader.
• The government has attempted to encourage people to have larger families in recent years, promoting incentives including cash bonuses and improved benefits. However, the promises did not stop births from dropping below 800K last year for the first time — the notable moment came eight years sooner than the government had expected.
• Kishida said on Monday that Japan was "on the brink" of compromising its social function, and vowed to "create a children-first economy and society." The Prime Minister pledged macroeconomic reform, such as dealing with inflation and revising the seniority based-wage system with the aim of increasing overall salaries.
• Birthrates in Japan have faced continuous decline for 14 years and now the country has the second-highest median age on the globe at 49 — only the tiny nation of Monaco exceeds that median at 55. The current population of 125M in Japan is predicted to fall to 86.7M by 2060.
• According to an analysis by YuWa Population Research, Japan is the third-most expensive nation to raise a child globally. Only China and South Korea are more expensive locations — both countries are also struggling with shrinking populations.
• Some experts argue that the maintenance of strict immigration policies — that have limited the number of people able to settle in Japan and resulted in a largely homogenous society — needs to be relaxed in order to offset the rapid aging of Japan's population.

Sources: Al Jazeera, Reuters, Gulf-Times, DW, and RTE.

Narratives

• Narrative A, as provided by The Asahi Shimbun. This population decline is the result of successive governmental failings to act swiftly or decisively on the issue of Japan's aging demographics. Despite vague promises to address slow growth and low pay in recent months, Kishida has failed to intervene with private employers to raise wages or commit government funding to make having children more affordable. The Prime Minister has continually dodged public debate over who will fund these necessary incentives to protect his electoral chances.
• Narrative B, as provided by BBC News. Japan's declining birthrate is not only a political issue — the declining population is inextricably linked to the nation's hostility to immigration. Only about 3% of its population is foreign-born and, until Japan adapts to be more accepting of a homogenous, immigration-based society that challenges the rigid hierarchy at the center of its culture, it will continue to face economic and social decline. This demographic crunch can't be blamed on the prime minister alone.

Predictions