Japan's economy hit the brakes less hard than previously thought in the second quarter of 2006 as solid domestic demand helped offset the effect of weaker exports.
The world's second largest economy grew at an annual rate of 1% in the three months to June, up from an initial estimate of 0.8%. Quarterly growth was unchanged from a previous estimate of 0.2%.
Japanese growth has slowed sharply from the pace seen at the start of the year as a US economic slowdown offsets strong domestic consumption. The annual rate of growth in the first quarter was 3.3%.
In the quarter to June, private consumption, which accounts for nearly 55% of the Japanese economy, grew 0.5% from the previous quarter. A Cabinet Office official said this sector continued to be strong, but growth was hit by weaker car exports to the US.
