Japan moves to tighten rules for foreigners, throwing futures into doubt

Japan’s Immigration Services Agency has announced a suite of tougher conditions for permanent residency that will be phased in from October 1 and applied retroactively to applications filed since April. Under the new rules, applicants must demonstrate household income above the national average, show proficiency in Japanese, and hold a pension fund equivalent to 30 years of payouts. The agency framed the measures as intended to ensure foreigners can live independently and are not at risk of becoming a social burden.

Long-term residents who had expected to settle permanently say the changes have thrown their plans into doubt. Two people interviewed by the source — a Bangladeshi tech engineer preparing applications for residency and citizenship, and an American entertainment worker who applied for permanent residency before the announcement — said they now face the prospect of being rejected and are exploring alternatives, including leaving Japan or pursuing naturalisation that would require giving up their original nationality.

Observers note a tension between the new policy and Japan’s demographic needs. Foreign resident numbers have been rising rapidly, reaching 4.12 million (about 3% of the population) at the end of 2025, while the number of Japanese nationals fell by more than 900,000 between January 2025 and January 2026. Economists and academics cited in the reporting warned that stricter conditions on long-term settlement could make Japan less attractive to foreign workers at a moment when labour shortages persist.

The shifting rules come against the backdrop of a broader political move to the right. Prime Minister Sanae Takaichi’s 2025 leadership campaign included calls to reconsider some immigration policies, and her coalition agreement with the Japan Innovation Party committed to tougher stances on foreigners who break rules and measures to address potential social friction. The far-right Sanseito party also increased its parliamentary presence, winning a record 15 seats in the most recent lower-house election. Public opinion has shifted as well: a University of Tokyo Institute of Social Science survey found opposition to accepting more foreigners rose to 56.3 percent, up from 35.6 percent in 2024.

Those changes — policy, political and social — leave Japan at a crossroads over how to balance demographic and labour needs with growing domestic concerns about immigration. Advocates for relying on foreign labour say the country must also decide what kind of society it wants to build with longer-term residents, while critics argue for stricter selection to limit potential social tensions.