Japan&#39;s Koizumi Says He Wants Economy to Recover at Steady Pace
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Prime Minister Junichiro Koizumi said he wants Japan&#39;s economy to recover ``at a steady pace&#39;&#39; as the central bank released redesigned Japanese bank notes for the first time in 20 years.
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Japan's economic recovery remains on track despite figures Friday that showed a jump in the nation's jobless rate and a continued decline in consumer prices, the economy minister said.
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Japan revised its first-quarter economic growth to an annual pace of 3.3 percent, from 2.4 percent, because business investment was stronger than initially estimated. The report confirmed that Japanâs economy remained on a healthy recovery path in the first three months of the year. The bulk of the revision came from capital investment, which rose 0.3 percent from the previous quarter, better than the preliminary figure of a decrease of 0.9 percent. Consumer spending, which makes up more than half of Japanâs gross domestic product, was up 0.8 percent from the previous quarter, the data showed. That was slightly below the preliminary reading of a 0.9 percent rise. Compared with the previous quarter, the G.D.P. rose 0.8 percent in the January-March quarter, the cabinet office said.
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Japan's central bank left its stimulative monetary policy unchanged, as widely expected, in a bid to support the current economic recovery and turn around years of price drops.
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Business confidence in Japan has remained steady in recent months,  according to the latest tankan survey.
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New figures show Japan's economy is barely staying out of recession with annual growth of just 0.2% in the third quarter.
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Confidence in business conditions at major Japanese companies fell from three months ago dampening expectations of an interest rate increase and clouding the outlook for the worldâs No. 2 economy.
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The Japanese government on Wednesday projected the economy would grow 2 percent next fiscal year even as the economy minister warned that target would be hard to reach if the U.S. economy slows and oil prices remain high.
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Japan's central bank decided Thursday to keep monetary policy unchanged to continue efforts to spur an economic recovery.
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Former U.S. Federal Reserve Chairman Alan Greenspan told a Tokyo seminar on Thursday that he does not think economic slowdown in his country is "probable," toning down his earlier warning over a recession later this year.
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Japanâs economy grew 0.9 percent in the last quarter of 2007, double the expected rate, the government said Thursday.
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Japan's economic growth rate was revised upward to an annual pace of 1.0 percent for the April-June quarter, as the world's second-largest economy expanded for a sixth straight quarter on the back of healthy private consumption, the Cabinet Office said Monday.
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Japan's Crown Prince said on Friday that it would still take some time for his wife to recover fully from a stress-induced mental illness, and asked the Japanese people to watch over her with warmness.
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The Bank of Japan opts to keep the country's benchmark interest rate on hold at 0.5%.
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A top Japanese business leader expressed  hope Monday that the impending betrothal of the emperor's only  daughter would help bolster Japan's economy, now showing signs  of a slowing recovery.
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Japanese Prime Minister Junichiro Koizumi  reiterated on Wednesday that he wanted at some point to visit  Iraq, where Japanese troops are engaged in reconstruction work.
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Japan should do more to end deflation, cut its budget deficits and optimize its labor market to sustain the country's recent economic growth, the Organization for Economic Cooperation and Development said Thursday.