Japan maintains economy assessment as “worsening rapidly”
The Japanese government on Thursday maintained its assessment of the economy in May as “worsening rapidly” amid the COVID-19 pandemic.
“The Japanese economy is worsening rapidly in an extremely severe situation due to the novel coronavirus,” the Cabinet Office said in a monthly report, keeping the expression that constitutes its most pessimistic assessment since May 2009 in the aftermath of the global financial crisis.
The government kept the overall assessment after downgrading it in March and April.
By main components, the report of May downgraded the assessments of three, including exports, out of 11.
The assessments of components such as private consumption, industrial production and corporate profits were unchanged.
However, the report showed some positive signs as the assessment of imports was upgraded for the first time since December 2017.
As to short-term prospects, the report said in its assessment that although the tough circumstances are “expected to remain,” social and economic activities “will be resumed gradually.”