The IMF also cited “accommodative policies” as underpinning growth, as Japan maintains ultra-loose monetary policy and big fiscal spending to cushion the blow from rising living costs.
Japan’s 2023 growth projection is roughly around the average 1.5% expansion estimated by the IMF for advanced economies.
Growth in the world’s third-largest economy is expected to slow to 1.0% in 2024 as the effect of past stimulus measures dissipate, the IMF said in its World Economic Outlook report.
The IMF’s projections come ahead of the Bank of Japan’s closely-watched policy meeting that concludes on Friday, when it will issue fresh quarterly projections and debate how much progress the economy is making in sustainably hitting its 2% inflation target.
Source: Economy - investing.com
