Japan says economy to grow 2.5 percent in this fiscal year
AFPTOKYO -- Japan on Monday said the world's number three economy was on track to expand 2.5 percent in the fiscal year starting in April, thanks to fresh stimulus and a recovery in overseas markets.
January 29, 2013, 5:15 pm TWN
Prime Minister Shinzo Abe's cabinet approved the forecast — higher than an estimate of 1-percent growth for the current year to March — on Monday morning, government officials said.
The estimate is slightly higher than those from economists who have also upped their outlook on the back of a weaker yen and new stimulus measures, Dow Jones Newswires reported.
“We are forecasting that the economy will recover as the global economy is expected to pick up gradually, while we're also expecting a steady recovery in demand and an increase in jobs” at home, Chief Cabinet Secretary Yoshihide Suga told a press briefing.
The government's top spokesman warned that several factors could impact the final growth figure, including swelling public debt and fluctuations in the yen, a key factor for the country's trade picture.
But Economic Revitalization Minister Akira Amari said he was confident the new target would be hit, telling Jiji Press: “Overseas risks are decreasing.”