Analysts: Japan Gdp To Grow In Fy2021
Analysts have updated their projections for Japan's GDP as the impact of the pandemic becomes clearer. They're expecting a return to growth in fiscal 2021, but not before some significant economic pain.
Eight private research firms revised their projections for Japan's economy. The changes come after the country's GDP shrank at an annualized 27.8 percent in real terms in the April-to-June period.
Analysts now expect GDP to shrink from 5.4 percent to 6.5 percent in fiscal 2020. That would mark a record drop, exceeding the downturn in fiscal 2008 amid the global financial crisis.
The eight firms also expect Japan's economy to start growing again in fiscal 2021. The projections range from a 2.7 percent to a 4.8 percent expansion.
But the firms say the recovery will be unusually slow. They believe the coronavirus will continue to limit economic activities. This could worsen the job market and incomes.
