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Japan says hosting record number of foreigners

Japan's foreign resident population hit a record 4.28 million at the end of June, according to the Immigration Services Agency, excluding short-term visitors. That is up 156,000 from the end of last year and about 3.5% of the total population. Immigration expert Toshihiro Menju says labour shortages across all skill levels, driven by a population shrinking by more than 900,000 a year, mean Japan has no choice but to rely on foreign workers, as AI, robotics and greater participation by women and older people cannot fully fill the gap. Businesses want a comprehensive policy for foreign residents, but growing anti-immigration sentiment has led Prime Minister Sanae Takaichi to push for stricter rules, and Japan tightened permanent residency requirements this month with higher income and Japanese-fluency demands. The number of foreign residents rose by about 300,000 over the past year, versus 360,000 the year before, and Menju expects 10 million foreigners in the 2040s. Meanwhile, the number of illegal overstayers fell 4.8% from the start of the year to around 65,000 as of July 1.

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