Following a strong start to the year, GDP growth is set to slow as domestic demand drops after the sales tax hike and external demand softens further. We think that the unemployment rate will creep higher next year, keeping a lid on price pressures. But amid continued concerns over financial stability, we don’t expect the Bank of Japan to lower its policy rates.
Subscriber content
Read this in full, free
Start a free trial and use one of your 10 free starter credits to unlock this piece.