Provided by: Bank of Japan
Previous Release: Press Release (English)

Provided by: Bank of Japan
Official Release: Press Release (English)

From the Release: "Japan's economic conditions have been deteriorating. Exports have decreased. Corporate profits have continued to decrease, and business sentiment has also deteriorated. In this situation, business fixed investment has declined. Private consumption has weakened, as the employment and income situation has become increasingly severe. Housing investment has been more or less flat. Public investment, meanwhile, has been sluggish. Reflecting these developments in demand both at home and abroad, production has decreased substantially. Japan's economic conditions are likely to increase in severity for the immediate future...

Financial conditions in Japan have deteriorated sharply on the whole: funding conditions in the CP and corporate bond markets have tightened; and an increasing number of firms, not only small but also large ones, have reported that their financial positions are weak and lending attitudes of financial institutions are severe.

The overnight call rate has been at a low level relative to the state of economic activity and price developments. However, it seems that funding costs for firms have recently edged up, as indicated by the wider credit spreads on CP and corporate bonds. The amount outstanding of CP and corporate bonds issued has been below the previous year's level, as investors continue to be selective in their purchase of CP and corporate bonds. The amount outstanding of bank lending has increased, mainly to large firms, reflecting firms' demand for covering the decline in the issuance of CP and corporate bonds and for securing more liquidity, although that to small firms has remained below the previous year's level. Despite the increase in bank lending, an increasing number of these firms, including large firms, have reported that their financial positions are weak and lending attitudes of financial institutions are severe. Meanwhile, the money stock has increased at a somewhat slower pace."

Provided by: Bank of Japan
Official Release: Press Release (English)

From the Release: "Japan's economic activity has been increasingly sluggish due to the effects of earlier increases in energy and materials prices and the decrease in exports.

Exports have decreased. Business fixed investment has also declined, mainly due to the deterioration in corporate profits. Private consumption has been relatively weak, mainly due to sluggish growth in household income and the increase in prices of energy and food. Housing investment has been more or less flat. Public investment, meanwhile, has been sluggish. Reflecting these developments in demand both at home and abroad, production has continued to decrease.

The increased sluggishness in Japan's economic activity will likely persist over the next several quarters as the slowdown in overseas economies becomes more evident.

Looking at price developments for the time being, domestic corporate goods prices are likely to continue decreasing, mainly due to the setback in international commodity prices. The year-on-year rate of increase in consumer prices is expected to moderate reflecting the declines in the prices of petroleum products and stabilization in the prices of food.

In the midst of the ongoing turmoil in global financial markets, the yen appreciated rapidly and stock prices plunged toward the end of last month. Since then, the yen has depreciated and stock prices have recovered slightly, but they have continued to be volatile."

Provided by: Bank of Japan
Previous Release: Press Release (English)

Provided by: Bank of Japan
Official Release: Press Release (English)

From the Release: "Japan's economic growth has been sluggish against the backdrop of high energy and materials prices and weaker growth in exports.

The pace of increase in exports has slowed. Business fixed investment has been leveling off, as corporate profits have been decreasing mainly due to the deterioration in the terms of trade. Private consumption has been relatively weak, mainly due to sluggish growth in household income and the increase in prices of petroleum products and food. The recovery in housing investment has been stalled. Public investment, meanwhile, has been sluggish. With these developments in demand both at home and abroad, production has been relatively weak.

While growth will likely remain sluggish for the time being, Japan's economy is expected to gradually return onto a moderate growth path as international commodity prices level out and overseas economies move out of their deceleration phase."

Provided by: Bank of Japan
Official Release: Press Release (English)

From the Release: "Japan's economic growth is slowing, mainly due to the effects of high energy and materials prices.

Exports have continued to increase, although the pace of increase has somewhat slowed lately.  Corporate profits have been decreasing recently, mainly due to the deterioration in the terms of trade.  In this situation, the pace of increase in business fixed investment has become slower.  Private consumption has been firm in a situation where household income has continued rising moderately.  On the other hand, public investment has been sluggish.  Meanwhile, housing investment has been recovering moderately.  With these developments in demand both at home and abroad, production has been more or less flat. 

Japan's economy is expected to grow at a slower pace for the time being and follow a moderate growth path thereafter."

Provided by: Bank of Japan
Official Release: Press Release (English)

From the Release: "Japan's economic growth is slowing, mainly due to the effects of high energy and materials prices.

Exports have continued to increase. Corporate profits have been leveling off, albeit at a high level, and the pace of increase in business fixed investment has become slower. Private consumption has been firm in a situation where household income has continued rising moderately. On the other hand, public investment has been sluggish. Meanwhile, housing investment has been recovering moderately. With these developments in demand both at home and abroad, production has been more or less flat.

Japan's economy is expected to grow at a slower pace for the time being and follow a moderate growth path thereafter."