FX.co ★ Japan’s Bank Lending Growth Edges Up to 4.5% YoY in January 2026

Japan’s bank lending continued to rise at the start of 2026, with year-over-year growth in outstanding loans reaching 4.5% in January, up from 4.3% in December 2025. The latest figures, updated on 08 February 2026, indicate a modest acceleration in credit expansion across the banking sector.

Both the previous and current readings are based on year-over-year comparisons, measuring growth in lending against the same month a year earlier. The December 2025 figure reflected how bank lending had changed from December 2024, while the January 2026 reading compares lending levels with January 2025. The uptick from 4.3% to 4.5% suggests a slightly stronger appetite for credit or continued support from financial institutions as the new year begins.

This incremental acceleration in bank lending is an important indicator watched by markets and policymakers, as it can signal shifts in corporate borrowing, consumer demand, and broader economic momentum within Japan.