Japan Q4 GDP Growth Slows to 0.1%


The Japanese economy advanced 0.1 percent on quarter in the three months to December of 2017, following a 0.6 percent expansion in the previous period and slightly below market consensus of a 0.2 percent growth, the preliminary estimate showed. Still, it was the eighth consecutive quarter of expansion and the longest growth streak since 1989.

The positive contribution to GDP largely came from household consumption (0.3 percentage points) and capital expenditure (0.1 percent). Meanwhile, government spending and net exports gave no contribution while changes in private inventories subtracted 0.1 percentage points.  
Private consumption increased by 0.5 percent recovering from a 0.6 percent fall in Q3 and slightly above expectations of a 0.4 percent rise.

Business spending rose at a slower 0.7 percent compared to 1 percent growth in Q3 and missing expectations of a 1.1 percent rise. Meantime, private residential investment contracted by 2.7 percent, following a 1.5 percent decline in Q3.
Government expenditure contracted 0.1 percent, compared to a flat reading a in Q3. Meanwhile, public investments dropped by 0.5 percent, after a 2.6 percent fall in Q3.
Exports of goods and services grew by 2.4 percent slowing down from a 2.1 percent rise in Q3; while imports increased by 2.9 percent, recovering from a 1.1 percent fall in the previous three-month period.
On an annualised basis, the GDP expanded 0.5 percent, compared to a downwardly revised 2.2 percent growth in the third quarter while markets estimated a 0.9 percent expansion. It was the eight straight quarter of expansion, the longest continuous growth since the 1980s. 


Japan Q4 GDP Growth Slows to 0.1%


Cabinet Office l Rida Husna | rida@tradingeconomics.com
2/14/2018 1:04:41 PM