The Bank of Japan just hiked its GDP growth forecast for the fiscal year ending April 2010 to 2.6% from 1.8%, for a 44% jump in growth. Japan’s export economy continues to surprise.
“Japan’s economy shows further signs of a moderate recovery, induced by improvement in overseas economic conditions,” the central bank said in a statement.
The economy “is likely to be on a recovery trend,” with the on-year rate of decline in consumer prices “expected to slow as the aggregate supply and demand balance improves gradually,” the bank said.
Still, they adjusted down their GDP forecast for the fiscal year ending April 2011, to 1.9% from 2.0%, but this level is still pretty good for Japan.