Japan's Economic Growth Slows in Q3, Challenging BOJ Plans

Reported 25 days ago

A Reuters poll indicates that Japan's economy likely experienced a sharp slowdown in the third quarter of 2024, primarily due to weak consumption and capital spending. The median forecast suggests an annualized GDP growth of only 0.7%, a notable drop from 2.9% in Q2. Analysts attribute the cooling growth to persistent high prices dampening consumer spending and a decrease in capital investment, compounded by external economic pressures and supply chain disruptions. As the Bank of Japan maintains ultra-low interest rates, the outlook for future rate hikes appears uncertain amid these economic challenges.

Source: YAHOO

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