Business climate in Japan

Japan ranks #33 of 54 on the overall business climate (score 53). Its strongest suit is cost of capital, followed by rule of law; the weakest is business taxes.

Cost of capital82 / 100Rule of law70 / 100Red tape57 / 100Momentum34 / 100Business taxes27 / 100
DriverScoreRankMeasures
Red tape and ease of doing business57 #36 of 54Days to start a business (Doing Business): 12 (2017); Procedures to start a business (Doing Business): 9.00 (2017); Ease of doing business rank (Doing Business, 1 = easiest of 190): 34 (2017)
Rule of law and legal certainty70 #19 of 54Liberal democracy (V-Dem): 0.73 (2025); Corruption perceptions score (higher = cleaner): 71 (2025); Strength of legal rights for borrowers and lenders: 5.00 (2017)
Taxes on business27 #45 of 53Corporate income tax rate (headline): 30 (2026); Total tax and contribution rate on commercial profits: 47 (2017)
Cost of capital82 #5 of 27Real interest rate: 0.97 (2017); Bank lending interest rate: 0.99 (2017)
Energy prices for business––no comparable figure yet
Growth momentum and investment trend34 #41 of 53Real GDP growth, average of the last five years: 1.31 (2025); Growth trend: last three years against 2015-2019: -0.37 (2025); Foreign direct investment, net inflows: 0.50 (2023)
2010: 4.1%102011: -0.2%112012: 1.7%122013: 2.0%132014: 0.9%142015: 1.8%152016: 0.7%162017: 1.6%172018: 0.8%182019: -0.3%192020: -4.3%202021: 3.6%212022: 1.3%222023: 0.7%232024: -0.2%242025: 1.2%25
Real GDP growth by year (World Bank). Green bars: growth; red: contraction.

Countries with a similar profile

Austria · Belgium · Germany · Slovakia

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Sources as on the business-climate table. Nestlyzer scores each measure 0–100 between the 5th and 95th percentile of the countries it covers. How the method works.