Tuesday, 19th April 2011
In Business In Japan,
Japanese economy could see even slower growth
The Asian Development Bank (ADB) has said that it may have to further downgrade its growth prediction for Japan, after its annual forecast earlier this month.
Kyodo News reported yesterday (April 18th), that the figure of 1.5 per cent annual growth could turn out to be even lower, due to the earthquake's impact on the Fukushima nuclear plant.
Rhee Chang Yong, from the ADB, said: "Some negative and positive things are going on. So we may have to revise [recent forecasts] later once we have more data."
However, the South Korean economist said that the forecast was unlikely to turn negative, as supply-chain disruptions were "less problematic" than previously thought.
Mr Rhee warned that this year's natural disasters could have a spill over effect on the economies in China and South Korea.
The Manila-based bank estimates that Japan's economy grew by 3.9 per cent last year.
Written by Mark Smith