Japan’s Economic Expansion Likely Hits Record 74 Months

Tokyo, Sept. 7 (Jiji Press)–Japan’s current economic expansion appears to have exceeded in length the postwar record of 73 months from February 2002 to February 2008, known as the “Izanami” boom, government data signaled on Monday. The index of coincident economic indicators rose 1.7 points in July from the previous month, the Cabinet Office said, showing that the economic expansion has now lasted 74 months since it began in June 2020. Nonetheless, higher prices for food and others have made the economic recovery feel less tangible for many consumers. Official peaks and troughs in the country’s economic cycle are determined following discussions with economists. The coincident index, which reflects current economic conditions, came to 120.6 against the 2020 base of 100, marking its highest level since October 2018 and the second consecutive month of rise. Production, shipments and exports of semiconductor manufacturing equipment increased, supported by booming investment in artificial intelligence and semiconductors. Shipments of oil products also grew following the completion of regular repairs at production facilities. The Cabinet Office kept its basic assessment of the coincident index unchanged, saying it is “improving.” The index of leading indicators, a barometer of the economy’s performance months ahead, rose 1.7 points to 117.9, boosted partly by a decline in the inventory ratio of oil products. On the other hand, sales projections for small and midsize companies deteriorated, particularly in the clothing and electrical and electronics industries. END [Copyright The Jiji Press, Ltd.]