MNI POLICY: Japan Must Be Vigilant to Virus Impact: Minister

      along with any impact on financial markets, Yasutoshi Nishimura, Minister

of State for Economic and Fiscal policy, said Monday.

     Although still seeing a recovery on the back of fiscal stimulus, Nishimura

pointed to the impact the outbreak could have on China's economy, supply chains

and tourism.

     Looking at the Q4 GDP data, Nishimura said the fall in private consumption

was a main driver, but noted both the pre-October hike buying and a post-hike

slowing were smaller than those around the 2014 hike.

     "Economic data after October showed that the drop in private consumption is

shrinking," he said.

     Japan's economy contracted for the first time in five quarters in Q4,

falling 1.6% q/q, or an annualized -6.3%, weighed by weak private demand,

preliminary GDP data released Monday by the Cabinet Office showed.

--MNI Tokyo Bureau; tel: +81 90-2175-0040; email: hiroshi.inoue@marketnews.com

--MNI London Bureau; tel: +44 203-586-2225; email: les.commons@marketnews.com

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