Japan MOF Upgrades Kanto, Tokai Economic Views in July Report

Tokyo, Aug. 5 (Jiji Press)–Japan’s Ministry of Finance upgraded its economic assessments of the Kanto eastern and Tokai central regions in a quarterly report for July released Wednesday. The ministry, however, deferred its assessment of the Kyushu southwestern region following an earthquake that registered a seismic intensity of up to 7 on Japan’s scale in the region’s Kumamoto Prefecture. It pointed to the need to fully assess the disaster’s overall impact on the regional economy. The MOF left its overall assessment of the nation’s economy unchanged, saying it is “recovering moderately” while cautioning that developments in the Middle East warrant close monitoring. The ministry’s regional finance bureaus reviewed economic conditions over the latest three months. The ministry raised its assessment of Kanto to “recovering moderately” from “picking up,” and that of Tokai to “recovering” from “recovering moderately.” By category, it upgraded its assessment of private consumption in Kanto and the Fukuoka southwestern region and production activity in Tokai and the Hokuriku central region. It raised its employment assessment for the Shikoku western region while downgrading those for Hokuriku and Fukuoka. Looking ahead, the ministry said that the economy is expected to continue recovering moderately as employment and income conditions improve. It also said that risks stemming from the Middle East situation and volatility in financial and capital markets require close attention. END [Copyright The Jiji Press, Ltd.]