Japan's economy grows annualized 0.2 pct July-September quarter

November 14, 2019: Japan's economy grew an annualized real 0.2 percent in the July-September quarter, marking the fourth successive quarter of expansion, the government said in a report on Thursday.

In terms of inflation-adjusted gross domestic product, the Cabinet Office said the growth reflected a 0.1-percent increase from the previous quarter.

The office's preliminary reading came in lower than median economists' forecasts and slowed from a revised 1.8-percent expansion in the previous quarter.

The biggest component of the Japanese economy, private consumption, which accounts for around 60 percent of Japan's economy, increased 0.4 percent from the previous quarter, in the recording period, the figures showed.

Japan's consumption tax hike to 10 per cent from 8 per cent on Oct. 1, saw a last-minute spike in demand from consumers, with some buying fairly large big-ticket items like refrigerators and air conditioners before the hike.

Capital expenditure, another barometer of domestic demand, rose 0.9 per cent in the recording period, while public investment was up 0.8 per cent, the office said. Exports dropped 0.7 per cent from the previous quarter, the office said in its latest report.

Unadjusted for price changes, Japan's economy grew an annualized 1.2 percent, and a quarterly 0.3 per cent, the Cabinet Office also said.

XINHUA/APP