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Japan Q4 growth best in three years

Revised figures show that Japan's economy expanded 1.3% in the final quarter of last year, up slightly from a preliminary reading thanks to increased capital spending by companies.

The 1.3% quarterly growth figure was the best in three years and the eighth straight quarter of expansion.

Economists had expected an upward revision in GDP after Ministry of Finance data showed last week companies boosted spending on plant and equipment by 16.8% in October-December compared with the same period a year earlier.

The revised GDP data showed that capital spending was marked up to a 3.1% increase from a preliminary 2.2% rise.

The data also showed personal consumption, which makes up about 55% of the economy, rose 1% from the previous quarter, compared with an initial estimate of a 1.1% and against a 1.1% dip in July-September.

Japan is enjoying its longest period of economic expansion in the post-war era, albeit at a slower pace than previous booms, thanks to solid exports and capital spending.