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Japan revises Q3 economy contraction to 2.9 pct

TOKYO
2023-12-08 10:49

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TOKYO, Dec. 8 (Xinhua) -- Japan's economy shrank at an annualized real 2.9 percent in the July-September quarter, revised from 2.1 percent reported earlier, due to weak consumption, the Cabinet Office said Friday.

Real gross domestic product (GDP), the total value of goods and services produced in Japan adjusted for inflation, decreased 0.7 percent from the previous quarter, compared with the preliminary reading of a 0.5 percent decline.

This marked the first negative growth in four quarters, according to the Cabinet Office.

Accounting for more than half of Japan's total GDP, private consumption in the recording period fell 0.2 percent, revised downward from the 0.04 percent drop reported last month, the latest data showed.

According to the data, capital investment shrank 0.4 percent, revised up from a preliminary drop of 0.6 percent.

Analysts here attributed the worse-than-expected figures to worsening declines in household consumption expenditure and inventory adjustments.

The Q3 results were further confirmed as various data and consumer sentiments regarding household consumption had already indicated a sluggish trend, noted Sayuri Shirai, professor at Keio University.
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