MNI BRIEF: Japan Govt Keeps Econ View, Cuts Exports

Japan’s government left its economic assessment in July for the sixth straight month, but lowered its view on exports for the first time since January, the Cabinet Office said on Thursday.

The Japanese economy is recovering at a moderate pace, although it recently appears to be pausing, the government repeated.

It noted exports “are almost flat.” The previous view held exports “appear to be pausing for picking up.”

Assessment of other components, such as private consumption, capital investment and industrial production, remained unchanged.

The government also maintained its optimistic view of the near term, noting the economy is expected to continue recovering at a moderate pace.

The government also lowered its assessment on overseas economies, the first time since January 2023, noting they represented a downside risk for the Japanese economy and pointing to the effects of continued high interest rate levels in the U.S. and Europe and “the lingering stagnation of the real-estate market in China.”

In June, the government upgraded its assessment on overseas economies for the first time since May 2023.