Japan’s second quarter growth revised up

Japan’s second quarter growth revised up

TOKYO,. Japan’s economy grew faster than initially thought in the April-June quarter thanks to strong corporate investment, official figures showed today.

The world’s third-biggest economy grew 0.7 per cent quarter-on-quarter, up from the preliminary figure of 0.5 per cent, the cabinet office said.

The latest figure — an annualised 3.0 per cent — was in line with market expectations, confirming that Japan has bounced back to growth following its first contraction in two years.

The data represented a quick turnaround after a series of eight consecutive quarters of growth ended in January-March, interrupting a winning streak not seen since the heady days of Japan’s “miracle” boom of the 1980s.

But analysts have warned US-led trade wars could be a major risk factor for an economy still struggling to win a long battle against deflation.

The upward revision was chiefly due to stronger-than-previously-estimated corporate capital investment, Tokyo said. — AFP