Japan’s Population Is Shrinking at an Accelerating Rate, but the Nationalist Prime Minister Is Making It Harder for Foreigners to Live There

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While foreigners make up just 3.4% of Japan’s population, the share has increased to a record high, and a political backlash has been building—even as the country also grapples with rapidly aging demographics and the need to find new workers to sustain economic growth.

On Tuesday, the latest five-year population survey detailed how stark Japan’s situation is. As of October 2025, the total population, including foreign residents, was 122.9 million, down 2.5% from five years earlier. The prior census in 2020 showed a dip of 0.7%.

The number of Japanese nationals revealed an even steeper decline of 3.5% to 119.1 million, following a 1.4% drop in the 2020 count.

Meanwhile, foreign residents jumped 40% to a record high of 3.84 million, and permanent residents climbed 17% to 947,125.

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On Thursday, the Japanese government increased fees for permanent residency to $1,271 from $64—a 2,000% jump that marks the largest increase in the country’s history. The cost for a five-year residence permit shot up to $475 from $38.

Japan also imposed more detailed requirements on income for permanent residents, who must now earn a minimum of $36,428 per year. And for the first time, applicants for permanent residency will be evaluated based on their Japanese language skills as well as their grasp of rules and customs.

On top of that, the government can revoke permanent residency for not meeting pension contribution obligations, failing to pay health insurance and taxes, and violating immigration law or the penal code.

The changes come as Prime Minister Sanae Takaichi has ushered in a more nationalist, right-wing stance.

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