Wednesday, 10th February 2010
In Business In Japan,
Machinery orders on the up in Japan
Machinery orders in Japan increased during December last year, beating many analysts' predictions for the market.
According to new figures from the Japanese cabinet office, core orders rose by more than 20 per cent during December, when compared with the month before, more than double the increases of between 8.2 per cent and 8.4 per cent which were expected by a number of economists.
This rise is the third highest increase seen in the sector, with higher rises only ever seen in October 1996 - 27.2 per cent - and August 2000, when orders went up by 20.8 per cent.
The increase has been welcomed as a positive sign for the Japanese economy, which has recently emerged from its deepest recession since the end of the second world war.
Machinery orders in Japan are often used as a gauge of health of the nation's economy as they frequently reflect levels of spending by companies, money which makes up a large chunk of Japan's GDP.
Written by Kimberley Homer.