Bankinter | The Tankan index, which measures the confidence of large manufacturing companies, improves to 15 points in Q4 2025 (compared to the expected 15 and the previous 14). In the case of Services, it fell slightly to 34 points, in line with expectations (compared to 35 expected and 34 previously). Small manufacturing companies also improved somewhat compared to the previous quarter and recorded better-than-expected figures (6 compared to 2 expected and 1 previously), while Services improved to 15 compared to 14 previously and 15 expected.
Bankinter analysis team’s view: Overall, there is a slight improvement in the Tankan for both large and small companies in Japan. In any case, the country’s economic growth situation remains relatively weak (Q3 GDP: 0.6%). In this context, the BoJ is meeting this week and the market expects a 25 basis point rise with the aim of controlling inflation levels.
