Q1 GDP data from Japan confirmed the enormous contraction:

Almost as if in response the draft of the Jap[anese government's annual economic blueprint has once again been sighted by Reuters.

This happened last week too:

This time around:

  • Japan's government will highlight the need to work closely with the central bank and guide policy "flexibly" in the wake of soft consumption and uncertainty over the inflation outlook
  • government said consumption "lacked momentum"
  • the outlook on pricesis unclear due in part to the effect of recent yen declines
  • flagged lingering overseas risks such as the fallout from monetary tightening by central banks across the globe, and worries about soft Chinese growth
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Japan PM Kishida