Japan Q4 GDP Growth Revised Up to 0.4%



The Japanese economy advanced 0.4 percent quarter-on-quarter in the December quarter of 2017, much stronger than the preliminary estimate of a 0.1 percent expansion and after a 0.6 percent growth in the prior quarter. It was the eighth straight quarter of expansion, due to strong private consumption and an upward revision of business spending and inventories.

In the three months to December, household consumption added 0.3 percentage points to growth, private non-residential investment/business spending contributed 0.2 percentage points and changes in private inventories added 0.1 percentage points. Meantime, government spending and net exports gave no contribution to growth. 

Compared to the third  quarter, private consumption increased by 0.5 percent (similar to the preliminary estimate, in line with market consensus and rebounding from a  0.6 percent fall in the third quarter).

Government expenditure was flat (compared to a 0.1 percent contraction in the preliminary estimate and following a 0.1 percent rise in the prior quarter). Public investments dropped by 0.2 percent (compared to a 0.5 percent fall in the preliminary estimate and after a 2.6 percent decline in Q3).

Private non-residential investment rose by 1 percent (stronger than the preliminary figures of a 0.7 percent increase, compared to  consensus of a 1.2 percent rise and the same as in the preceding quarter). Meanwhile, private residential investment shrank by 2.6 percent (compared to the preliminary estimates of a 2.7 percent decline and following a 1.7 percent fall in the September quarter).

Exports of goods and services expanded by 2.4 percent (the same as in the preliminary figures and after a 2.1 percent rise in Q3); imports grew by 2.9 percent (unchanged from the preliminary estimates and following a 1.2 percent decline in Q3).

On an annualised basis, the economy grew by 1.6 percent, much faster than the preliminary estimate of a 0.5 percent expansion and beating expectations of a 0.9 percent growth.

Japan Q4 GDP Growth Revised Up to 0.4%


Cabinet Office l Rida Husna | rida@tradingeconomics.com
3/8/2018 3:02:11 AM