Japan’s government revised up its economic forecast for the fiscal year to next March and projected that growth would accelerate in the following year, on the view that its massive stimulus package will boost consumption and capital expenditure.
The projections are the first to be compiled under Prime Minister Sanae Takaichi’s administration, which has announced big spending plans aimed at cushioning the blow to households from rising living costs while promoting investment in growth areas.
Under the latest projections approved by the Cabinet on Wednesday, the government expects Japan’s economy to expand 1.1% in the current fiscal year, up from 0.7% growth estimated in August due to the smaller-than-expected hit from U.S. tariffs.
AloJapan.com