Japan’s gross domestic product grew in the fourth quarter but it did so at a slower pace than it did earlier in the year as consumer spending flatlined and counterbalanced a rise in exports. The data, signaling a loss of momentum for the world’s third-largest economy, comes just a day after Japanese Shinzo Abe spent the weekend with President Donald Trump, a man famous for his protectionist stance in terms of international trade.
The Asian nation’s economy grew 0.2 percent compared to the previous quarter and grew 1 percent on an annualized basis, Japan’s Cabinet Office said Monday. In terms of quarter-on-quarter growth, Japan’s GDP rose 0.6 percent in the first quarter, 0.4 percent in the second and 0.3 percent in the third.
Private consumption was flat after growing 0.3 percent in the third quarter.That sluggish figure weighed down Japan’s performance in a quarter when exports actually rose 2.6 percent- up from 2.1 percent in the third quarter.
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Last month, the Bank of Japan expressed an optimism about the future. The bank said that the country’s export-driven economy is recovering and likely to return to a “moderate expansion” phase.
While a mature Japanese economy is slowing down, China’s appears to be picking up. Chinese exports jumped a bigger-than-expected 7.9 percent in January.