Japan’s small enterprises eased back on their investment cutbacks in the third quarter of 2026, according to the latest Tankan All Small Industry CAPEX figures released on 30 September 2026. The indicator improved to -4.7% in Q3 from -8.3% in the second quarter of 2026.
While the CAPEX reading remains in negative territory—signaling that small companies are still reducing capital expenditure overall—the smaller decline suggests a tentative stabilization in investment sentiment. The shift from -8.3% to -4.7% indicates that small firms across Japan are trimming their spending plans less aggressively than earlier in the year, hinting at a possible bottoming-out in the investment cycle for this segment of the economy.