The government confirmed this week that the nationwide state of emergency will be extended until 31st May. But with daily cases slowing, some local authorities have signalled they are considering relaxing restrictions before then. Indeed, there was already a small pick up in activity in the north of the country during the Golden Week holiday. However, those regions account for a small slice of GDP. Consumer spending is set to remain extremely weak in the government’s “special alert” prefectures which account for the bulk of Japan’s economic activity.
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