(xinhua/kpl?): The Japanese government has maintained its assessment that the country’s economy is recovering gradually, though stagnation in some areas still lingers. In its monthly economic report for October, the cabinet office observed mixed trends in consumer spending.
According to Lao News Agency, higher minimum wages in October have been a positive influence, yet ongoing price increases in food and other goods are prompting consumers to cut back. This has resulted in a cautious outlook that consumer spending “is showing signs of picking up, but with some stagnation.”
Corporate investment has held steady, with robust investment plans across various industries surpassing previous levels. This has led the government to maintain its assessment that capital expenditure “continues to recover.”
However, the production sector experienced a downgrade for the first time in eight months, as industrial production was “flat recently” due to a slowdown in production machinery, including the semiconductor manufact
uring equipment.
While the government remains cautiously optimistic, it has highlighted several risks to the economic outlook. These include inflation, geopolitical uncertainties in the Middle East, and fluctuations in financial markets.