Japanese economy shrinks by 2%, worse than forecasts

Japanese economy shrinks by 2%, worse than forecasts

Weak private consumption, investments and trade figures cause decline in GDP

By Gokhan Ergocun

ISTANBUL (AA) - The Japanese economy contracted at an annual rate of 2% in the first quarter of 2024, preliminary figures showed on Thursday.

Markets and economists had forecast a contraction of 1.5%.

Private consumption, the biggest component of the GDP, fell by an annualized 2.7%.

Corporate investment posted a decline of 3.2%, exports dropped 18.7%, while imports also fell 12.8%.

The economy expanded by 0.4% in the last quarter of 2023 after shrinking by 2.9% in the third quarter.

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