Slower global economic growth and more cautious capital investment

「During the current fiscal year, the Japanese economy continued to recover as personal consumption recovered on improving income conditions and capital investment increased against a backdrop of solid corporate earnings. However, uncertainty over the outlook persisted due to geopolitical risks, including escalating tensions in the Middle East and the stalled relationship between Japan and China.」

「During the first six months of the current interim consolidated accounting period, the Japanese economy remained firm as personal consumption recovered amid improving income conditions despite rising prices, and capital investment increased against a backdrop of solid corporate earnings. However, uncertainty over the outlook continued due to the effects of developments in US tariff policy and other factors.」

「Although uncertainty over the outlook persisted due to the stagnation of the Chinese economy and geopolitical risks, including the situation in the Middle East, personal consumption recovered as income conditions improved, and capital investment increased against a backdrop of expanding corporate earnings, allowing moderate recovery to continue.」

「During the first nine months of the current fiscal year, the Japanese economy faced downside risks due to global monetary tightening and stagnation in the Chinese economy. However, moderate recovery continued as socioeconomic activity normalized and corporate earnings and capital investment improved.」

「During the first six months of the current fiscal year, the Japanese economy faced downside risks to overseas economies due to global monetary tightening and concerns over the outlook for the Chinese economy. However, it recovered moderately as socioeconomic activity normalized after the COVID-19 pandemic, with personal consumption recovering and corporate earnings and capital investment improving.」

「During the first three months of the current fiscal year, the Japanese economy faced uncertainty over rising prices and the outlook for overseas economies, but recovered moderately as the transition of COVID-19 to a Class 5 disease revitalized socioeconomic activity, supporting a recovery in personal consumption and corporate earnings.」

「During the first nine months of the current fiscal year, the Japanese economy faced uncertainty over the outlook due to sharp exchange-rate movements and rising prices. However, personal consumption began to recover as restrictions on activity imposed to control COVID-19 were eased, and the economy recovered moderately as capital investment remained solid.」

「During the first six months of the current fiscal year, the Japanese economy faced uncertainty over the outlook due to soaring resource prices and supply constraints stemming from the situation in Ukraine, as well as yen depreciation associated with the widening Japan-US interest rate gap. However, it recovered moderately as personal consumption began to recover with the easing of restrictions on activity and capital investment remained solid.」

「During the first three months of the current fiscal year, the Japanese economy faced uncertainty over the outlook due to soaring resource prices and supply constraints stemming from the situation in Ukraine and restrictions on economic activity in China. However, personal consumption and capital investment showed moderate recovery trends as restrictions on activity imposed to control COVID-19 were eased.」

「Although uncertainty over the outlook has increased due to higher resource prices, yen depreciation, and escalating tensions surrounding Ukraine, a moderate economic recovery is expected to continue as COVID-19-related restrictions on activity are eased.」

「During the first nine months of the current fiscal year, personal consumption recovered as restrictions on activity were eased following the lifting of the state of emergency at the end of September. In manufacturing, demand for capital investment remained solid both in Japan and overseas, despite concerns including higher resource prices and semiconductor shortages.」

「During the first six months of the current fiscal year, personal consumption remained weak as the effects of COVID-19 persisted, but exports increased, driven by the recovery of overseas economies, particularly the United States and China, where vaccination programs had advanced. Capital investment also showed signs of recovery, mainly in manufacturing, and moderate recovery continued.」

「During the first three months of the current fiscal year, the prolonged effects of COVID-19 weakened the recovery in personal consumption. However, exports, particularly in manufacturing, increased moderately and showed signs of recovery against a backdrop of continued strength in the Chinese economy and a recovering US economy as vaccines became more widely available.」

「From the second quarter onward, the recovery trend continued as economic activity resumed following the lifting of the state of emergency. However, the pandemic had yet to show signs of ending, and uncertainty continued.」

「During the first nine months of the current fiscal year, personal consumption and exports improved as economic activity resumed following the lifting of the state of emergency in May, and capital investment also showed signs of recovery. However, the recent resurgence of COVID-19 infections has heightened uncertainty over the outlook in Japan and overseas.」

「During the first six months of the current fiscal year, personal consumption and exports in Japan improved as economic activity resumed following the lifting of the state of emergency, but recovery remained moderate. In the global economy, production was gradually normalizing in China, while other countries had yet to achieve a full recovery.」

「During the first three months of the current fiscal year, the Japanese economy deteriorated rapidly as COVID-19 severely restricted individual and corporate activity. The global economy also contracted sharply as lockdowns and other measures restricted economic activity.」

「Subsequently, personal consumption and capital investment declined as the front-loaded demand ahead of the consumption tax increase unwound. More recently, the COVID-19 pandemic caused personal consumption to fall sharply due to the slowdown in the global economy, supply chain disruptions, and a steep decline in foreign tourists.」

「During the first nine months of the current fiscal year, personal consumption and capital investment in the Japanese economy were temporarily affected by the reversal of front-loaded demand ahead of the consumption tax increase and by natural disasters. Overall, however, the economy remained firm and maintained moderate growth. Exports continued to lack momentum, particularly to China and other Asian markets, due to the slowdown in the global economy.」

「During the first six months of the current fiscal year, the Japanese economy experienced weak exports due to deteriorating external demand against a backdrop of US-China trade tensions, as well as inventory adjustments. However, moderate recovery continued, supported by personal consumption, including front-loaded demand ahead of the consumption tax increase, and capital investment focused on labor-saving measures.」

「During the first three months of the current fiscal year, the Japanese economy was affected by weak exports and slower capital investment, but moderate recovery continued, supported by solid employment conditions and personal consumption resulting from the change of era.」

「During the current fiscal year, the Japanese economy was affected by natural disasters and the slowdown in the global economy, but recovered moderately, supported by capital investment against a backdrop of strong corporate earnings and personal consumption resulting from improved employment and income conditions.」

「During the first nine months of the current fiscal year, the Japanese economy remained uncertain due to the effects of US-China trade tensions and other factors. However, it maintained moderate growth as personal consumption recovered on improving employment and income conditions and capital investment expanded against a backdrop of solid corporate earnings.」

「During the six months ended 30 September, the Japanese economy maintained moderate growth despite US-China trade friction and a succession of natural disasters. Private consumption recovered as employment and income conditions improved, while capital investment expanded against a backdrop of strong corporate performance.」

「During the nine months ended 30 June, the Japanese economy maintained moderate growth. Private consumption recovered as employment and income conditions improved, while strong corporate performance and expanding capital investment supported growth.」

「Looking ahead, although concerns remain over US protectionist policies and geopolitical risks in the global economy, the recovery trend is expected to continue. In Japan, employment and income conditions and corporate performance are also expected to continue improving, supporting continued moderate growth.」

「During the nine months ended 31 December, the Japanese economy remained on a recovery trend. Employment and income conditions continued to improve, private consumption gradually recovered, corporate performance improved with support from strong exports, and capital investment expanded.」

「During the six months ended 30 September, the Japanese economy remained on a moderate recovery trend. Private consumption gradually recovered as employment and income conditions improved, while corporate performance and capital investment also expanded steadily, supported by strong exports and the impact of yen depreciation.」

「During the nine months ended 30 June, the Japanese economy remained on a moderate recovery trend. Private consumption gradually recovered on the strength of employment and income conditions, while corporate performance and capital investment also improved on the back of strong exports and yen depreciation.」

「Corporate performance and capital investment improved against a backdrop including the recovery in crude oil prices, and the economy remained on a moderate recovery trend. The outlook is expected to remain uncertain due to the impact of US policy developments and rising political instability in various parts of the world.」

「During the cumulative third quarter period, the Japanese economy remained on a gradual recovery track, with signs of a recovery in personal consumption due to improvements in employment and real wages, and a recovery in corporate earnings and capital investment, particularly among exporters, against the backdrop of yen depreciation.」

「The appreciation of the yen and slower global economic growth weighed on corporate performance, particularly in manufacturing, and companies also became more cautious about capital investment.」