In its monthly economic report for March, the government left its assessment of the current state of the economy unchanged: ``Although there has been some stagnation recently, the economy is recovering moderately.'' In addition, in response to the Bank of Japan's change in monetary policy, ``the government and the Bank of Japan will work closely together to conduct flexible policy management in response to economic and price trends.''
The government held a related ministerial meeting on the 22nd and compiled the monthly economic report for March.
Under these circumstances,
we have raised our judgment that corporate capital investment is showing signs of picking up, as large-scale investments are progressing in the semiconductor and automobile-related industries, and corporate investment plans are also at a high level. Ta.
▽In terms of personal consumption, although the income environment is expected to improve as a result of continued large wage increases due to the spring labor union, there is a ``stagnation in recovery'' due to the impact of some major automakers suspending production. I maintained that judgment.
In light of these circumstances, we have left our judgment unchanged regarding the current state of the economy: ``Although there has been some stagnation recently, the economy is recovering moderately.''
In addition, in response to the Bank of Japan's decision to implement a large-scale shift in monetary easing measures, including the lifting of its negative interest rate policy, the government said, ``The government and the Bank of Japan will continue to work closely together to implement policy management flexibly in response to economic and price trends.'' "We will mobilize all policy tools to overcome deflation and create a new growth-oriented economy."