That is nothing to worry about.

Even the retaining wall?

Why I always favour Risi Stone walls, which handle the inevitable movement without cosmetic damage.

I would contact a company specializing in stabilizing retaining walls. I would suspect inadequate and/or improperly placed steel and/or lack of stress relief cuts. This is common in home foundations but concealed by finished basements and no evidence of water entry blocked by Delta type membranes. (At one point, these membranes were rated with a 300-year service life--since reduced to 25 years.)

Research weep holes and whether you should stick one in to handle the water pressure behind the retaining wall.

I can see the crack but there doesn’t seem to be any deflection or separation in the wall.

Thanks everyone. House is five years old. We had parging work done on the retaining wall within first year as it looked really ugly. But the crack seems to be not just on the parged surface. It’s hard to tell if this is the wall cracking or the surface. Here is a closer up pick of the corner plus from when it was built.