Cabinet Office officials.
The growth projection for fiscal 2022 was raised to 3.2% from a forecast 2.2% real GDP growth seen in the mid-year review in July
- if 3.2% is hit it’d be the fastest growth since fiscal 2010 (the economy bounced back from the GFC with +3.3%)
- stimulus spending is expected to push up GDP by 1.5% this fiscal year and 3.6% next fiscal year
The picture for the current FY is not so rosy:
- Japan’s real GDP estimate 2.6% in the current fiscal year ending in March from 3.7% previously
- prolonged COVID-19 pandemic and supply constraints in chip production weigh
The revised forecasts will provide the basis for the fiscal 2022 budget to be compiled on Friday.
For the session, USD/JPY is staying in a small range only: