Friday, 27th June 2008
In Business In Japan,
Japan inflation at '10-year high'
Last month, household spending fell 3.2 per cent from the same time in 2007, according to figures from the ministry of internal affairs and communications. The figures compare unfavourably with the market forecast of a two per cent decline.
Unemployment remains at four per cent, while industrial production increased 2.9 per cent.
Economy minister Hiroko Ota told the Kyodo news agency: "Rising oil and commodity prices are pushing up costs, which is damaging corporate profits and consumer sentiment."
Analysts are now forecasting almost zero economic growth or a possible contraction in what is the world's second largest economy.
Only the US has a larger gross national product than Japan. The main Japanese industries include manufacturing, construction, distribution and real estate, according to Japan-guide.com.