Japan's economy grew 0.1% in third quarter of 2019: government
[TOKYO] Japanese growth slowed significantly in the third quarter of the year, according to government data released on Thursday, sparking concerns for the health of the world's third-biggest economy.
The economy expanded 0.1 per cent between July and September, a slowdown from the 0.4 per cent seen in the previous period and much weaker than economists had forecast.
A drop in exports amid ongoing global trade tensions outweighed growth in domestic demand, the government said.
Analysts had expected a stronger pace of growth in the third quarter as consumers rushed to make purchases before a controversial consumption tax hike from eight per cent to 10 per cent on October 1.
Japan's household spending surged 9.5 per cent year-on-year in September, according to official data released last week, as consumers rushed to complete purchases of furniture and other big-ticket items ahead of the rate rise.
Some analysts expect a backlash in the fourth quarter as consumption slows after the tax hike.
AFP
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
International
Putin plans to meet Xi in China days after his new term starts
Biden vetoes bid to repeal US labour board rule on contract, franchise workers
Economic leaders of South Korea, Japan, China say FX volatility is a risk
US automakers win extension on use of Chinese graphite in EV tax credits
US service sector contracts in April; price pressures up
Thaksin’s daughter calls central bank independence an ‘obstacle’