BOJ Hike Case Gains Momentum as Japan GDP Revised Higher

Japan's economy saw a faster-than-expected growth in the second quarter, according to data released by the Cabinet Office on September 7, 2026. The country's GDP expanded 1.4% from the previous quarter on an annualized basis, up from an initial estimate of 1.1%. This revised figure is higher than the median economist estimate of 1.8%, indicating a stronger-than-expected performance.

The updated data comes as the Bank of Japan (BOJ) prepares to make its next interest-rate decision, with many expecting a hike in rates. The BOJ's decision will likely be influenced by this revised GDP figure, which may bolster the case for a rate increase.