The GDP (Gross Domestic Product) is the way every country on earth measures their development. But this pursuit of economic growth at all costs created an unsustainable system that pushed the well-being of people and the planet to its limit. Particularly in Japan, the third largest economy in the world by GDP.

As the biggest financial newspaper in the world and the creator of Japan’s most influential stock exchange index, Nikkei has helped propel Japan’s economy to where it stands today.

Unfortunately, they have also helped perpetuate the failures of the GDP along the way, increasing the imbalance between their country’s growth and the well-being of employees and citizens.

Recognizing their role in creating this unsustainable situation, Nikkei wanted to take the lead in building a solution that would balance economic, social and environmental concerns, improving the quality of life of every person in Japan, and the world.

The world is experiencing a rising disconnect between countries’ growing GDP and the decreased well-being of its citizens. According to the United Nations, depression and anxiety increased by 25%, stress has been contributing to over 2.8 million deaths every year and global life expectancy has fallen back to 2013 levels.

Japan, the world’s third largest economy by GDP, is no exception. The country has been facing significant health and environmental challenges in the past decade, with a concerning culture of overwork, increasingly high rates of chronic diseases, low birth rates and over 20,000 suicides reported annually. In the last happiness report by the United Nations, Japan ranked 54th, the lowest among the developed world.

These challenges highlight the need for a new approach that goes beyond economic growth and prioritizes the physical, mental, and social health of its citizens, creating a more sustainable, healthy, and happy society.

The Well-Being Index (GDW) is a transformative new way to measure a country’s growth, focusing on the well-being of its citizens and not just its economy.

With thousands of people from all backgrounds surveyed across all regions in Japan, the model tracks and measures a range of well-being indicators such as health, work-life balance, natural environment, social connections, employment, wages, housing, education, and ease of raising children. The results are then aggregated into a single metric, called GDW (Gross Domestic Well-being).

Used alongside the GDP, The Well-Being Index (GDW) becomes an official reference point for governments and companies to truly know how well their country is doing and inform new decisions, investments, and policies.

The GDW is meant to redefine how the world measures the success of a country, in a way that's more in tune with today's society and the future of the planet.

Recognizing the alarming disconnect between Japan’s rising economy and the decreased well-being of its citizens, Nikkei wanted to bring a much-needed change in Japan.

A regular awareness campaign wouldn’t have nearly enough impact. The need called for a structural, long-term solution. One that government officials and the largest companies in Japan could engage with, adopt, and rally behind.

That solution was The Well-Being Index. A new metric that could reshape the way Japan, and the world, measures the success of a nation.

As the largest financial newspaper in the world and creator of Japan’s most influential stock exchange Index, Nikkei had the credibility, the communication platform and strong relationships with policy-makers and company leaders to ensure a successful roll-out.

Gross Domestic Well-being is not a new concept. But it’s the first time it was put into real practice.

Together with experts in Economics, Social Progress, Human Development and Public Policy from Harvard, Oxford and Tokyo University, Nikkei adapted the model to Japan’s culture and societal structure.

The model constantly surveys thousands of citizens across all of Japan, aggregating results into a single metric, called GDW.

The Well-being Index was introduced to policy-makers and the top 100 companies in Japan through a series of symposiums that would explain its value and applications.

Newspaper ads and articles supported the launch, while a dedicated team lobbied the government to make it an official metric alongside the GDP.

The GDW index was then regularly published next to the GDP in the biggest financial newspaper on the planet. Together these metrics give a more comprehensive, modern-day picture of the success of a nation.

The Well-being Index was recognized by Japan’s Prime Minister as an official metric to inform new policies, followed by an ¥8 billion investment.

23 of Japan’s largest companies, like Fujitsu, Nestlé, and Deloitte, started making internal changes for employees and investors or launched public well-being initiatives, with more efforts to raise GDW following.

The Well-Being Index has started a systemic change that will take decades to play out. We’ll see a decrease in pollution, burnout and poverty, and an increase in education levels, healthcare access, and average life standard.

It’s setting Japan up to become a balanced nation that’s both more sustainable and more prosperous. Happier employees deliver better work. Healthier citizens cost the government less. And better-managed natural resources guarantee long-term stability.

It shows the world that a country’s economy and the well-being of its people can grow together, while positioning Nikkei as an economic pioneer, once again.

While the disconnect between the economic success of a country and the well-being of its citizens is a global issue, it’s particularly noticeable in Japan. While Japan is the third largest in the world by GDP, it also deals with one of the world’s highest suicide rates (17.5 suicides per 100,000 inhabitants).

There’s an imbalance between the social and working purpose of life in modern Japan. This dissatisfaction exposes the problems of overwork, wealth inequality and social fragmentation. Men are working too hard at the expense of family time. Birth rates are extremely low, and loneliness and social anxiety compound the problem for many.

While the Japanese government has launched initiatives to counter this, there’s clearly more effort needed, especially from the companies that make up the beating heart of Japan’s economy.