2 in 5 Japan firms plan increased capital spending

Tokyo

TWO in five Japanese firms plan to boost capital spending this business year, and more than a third of those say it is because of rising demand, a Reuters poll showed, pointing to a pick-up in confidence about the economy.

But tempering that upbeat view was a warning from about one-quarter of respondents that their sales are so far undershooting their business plans for the year that started in April. In contrast, just one-eighth of respondents said they were ahead of plan.