Arab Today, arab today japan trade slowdown highlights growth challenge for abe
Last Updated : GMT 00:11:47
Arab Today, arab today
Arab Today, arab today

Japan trade slowdown highlights growth challenge for Abe

Arab Today, arab today

Arab Today, arab today Japan trade slowdown highlights growth challenge for Abe

Japan's finance ministry says exports rose 3.1% year-on-year to 5.88 billion yen
Tokyo - AFP

They will add to pressure on the country's central bank to add more stimulus, despite the bank's upbeat assessment this week.
The finance ministry said Thursday that exports rose 3.1 percent year-on-year to 5.88 billion yen ($49 billion) thanks to a rise in "automobiles and ships". That was slower than the previous month and included a 4.6 percent tumble in shipments to China.

But Junko Nishioka, chief economist at Sumitomo Mitsui Bank, told AFP: "The weakness (in Japan's exports) is not only coming from China, but also from the US and Europe.

"I think the third-quarter net trade data should add a negative contribution to growth, and bring headwinds for Prime Minister Shinzo Abe and the Bank of Japan."

Exporters are not getting the boon they might be hoping for from the fall in the value of the yen, with weakness in China, a key driver of worldwide growth, and Europe the main concerns.

Abe has for more than two years pushed a huge spending blitz and monetary easing drive -- called "Abenomics" -- to inject life into the moribund economy and reverse almost two decades of deflation.

But he is struggling to make good on his pledges to cut red tape and open up the economy -- a so-called third arrow of his plan -- while inflation remains near zero and growth actually contracted in the second quarter.

- 'Abenomics' questioned -

Abe's stewardship of the economy took a blow when Standard & Poor's on Wednesday downgraded its sovereign credit rating on Japan, and took a swipe at the government.

"We believe that the government's economic revival strategy -- dubbed 'Abenomics' -- will not be able to reverse this deterioration in the next two to three years," S&P said.

"Economic support for Japan's sovereign creditworthiness has continued to weaken in the past three to four years," the agency said, pointing to "slow decision-making among policy institutions" as a particular issue.

The Bank of Japan held fire on expanding its 80 trillion yen annual asset-buying programme, saying the economy "has continued to recover moderately... exports and production are affected by the slowdown in emerging economies".

However, many economists expect the bank to expand its already unprecedented easing measures.

Sumitomo Mitsui Bank's Nishioka believes an widening of the stimulus programme was unlikely until the end of the year or early 2016, as BoJ governor Haruhiko Kuroda remains bullish about the economy.

"The BoJ may want to wait (to see) how much China and emerging economies are going to affect Japan's economy," she said.

Japan is the developed world's most indebted country, with debt more than two times the size of its economic output.

The value of imports also dropped, slipping 3.1 percent to 6.45 billion yen, which the finance ministry said was owing to lower global prices for crude oil and liquefied natural gas.

Research house Capital Economics forecast the fall would continue this month due to "the slump in crude oil prices in recent months and the renewed strengthening of the yen".

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today japan trade slowdown highlights growth challenge for abe Arab Today, arab today japan trade slowdown highlights growth challenge for abe

 



Arab Today, arab today
Arab Today, arab today Ideen Belmahdy happy to be part of “ Fashion Star”

GMT 17:00 2017 Sunday ,26 February

Ideen Belmahdy happy to be part of “ Fashion Star”
Arab Today, arab today Tourist guide explains types of tourism

GMT 18:28 2017 Saturday ,25 February

Tourist guide explains types of tourism
Arab Today, arab today Expresses Algerian history by woody figures

GMT 13:26 2017 Friday ,24 February

Expresses Algerian history by woody figures
Arab Today, arab today Iran complying with nuclear deal

GMT 07:14 2017 Saturday ,25 February

Iran complying with nuclear deal
Arab Today, arab today Ayat Abaza says state TV presented major stars

GMT 03:52 2017 Sunday ,26 February

Ayat Abaza says state TV presented major stars

GMT 12:06 2017 Sunday ,26 February

Britain banks on robots, AI to boost growth

GMT 12:00 2017 Sunday ,26 February

China to allow more IPOs to attract capital

GMT 06:31 2017 Sunday ,26 February

Consumer prices up in Canada

GMT 06:15 2017 Sunday ,26 February

Tsipras: Era of austerity is over
View News in Arabic - Business: اقتصاد دولي
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Reading therapy relieves mental disorders

GMT 15:39 2017 Friday ,24 February

Reading therapy relieves mental disorders
Arab Today, arab today UK appoints 1st Scotland Yard chief in 188 years

GMT 05:14 2017 Thursday ,23 February

UK appoints 1st Scotland Yard chief in 188 years
Arab Today, arab today Penguins in the age of dinos

GMT 11:44 2017 Saturday ,25 February

Penguins in the age of dinos
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today 'Constructive' Vauxhall talk with union

GMT 08:54 2017 Saturday ,25 February

'Constructive' Vauxhall talk with union
Arab Today, arab today Tesla back into red but revenue grows

GMT 07:27 2017 Thursday ,23 February

Tesla back into red but revenue grows
Arab Today, arab today Ola Ghanem hopes to work with M.Ramadan

GMT 07:23 2017 Friday ,24 February

Ola Ghanem hopes to work with M.Ramadan
Arab Today, arab today Ex-yoga missionary unleashes rage

GMT 12:16 2017 Thursday ,23 February

Ex-yoga missionary unleashes rage

GMT 06:08 2017 Thursday ,23 February

Actress Lobna Abdel Aziz proud of her career

GMT 12:35 2017 Tuesday ,21 February

63-Year-Old Woman Delivers Baby

GMT 13:47 2017 Friday ,24 February

Rabia Fatima reveals role of "Facebook" in her career

GMT 10:28 2017 Wednesday ,22 February

Milan laughs while Rome cries

GMT 20:33 2017 Friday ,17 February

To release new antiques collection

GMT 10:20 2017 Thursday ,23 February

Brazil's top diplomat resigns

GMT 11:54 2017 Thursday ,23 February

Saudis await visitors but will they come?

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday