Household spending in Japan dipped for the second straight year. A survey suggests rising prices prompted consumers to set more aside for savings in 2024.

An internal affairs ministry report shows households of two or more people averaged about 300,000 yen a month last year on an inflation-adjusted basis. That's equivalent to about 2,000 dollars and 1.1 percent less than in 2023 in yen terms.

Spending on electric power, gas and water declined 6.8 percent.

Food expenditures dropped 0.4 percent. Ministry officials say that households remained budget conscious amid higher costs of living. Rice prices surged after abnormal weather worsened crops.
Food accounted for 28.3 percent of total household spending. That's the highest ratio since 2000, when comparable data first became available. The officials point to sharper price raises for food compared to other items.