Japan Finance Ministry revises up economic views on 6 regions

October 25, 2017

TOKYO- Japan's Finance Ministry upgraded its economic assessments on six of the country's 11 regions due mainly to increased production in a quarterly report released on Tuesday.

The ministry revised up its overall assessment for the 11 regions from "recovering moderately" to "recovering," the first upgrade in two years and three months.

The report showed that bullish sentiment toward the economy was spreading throughout the country amid an improving jobs picture due to labor shortages.

The assessments were upgraded for the Chugoku, Shikoku and northern Kyushu regions from "close to recovering moderately" to "close to recovering."

The ministry raised its assessments on Kanto that includes Tokyo to "recovering," on Tokai to "close to expanding moderately," and on the rest of Kyushu to "recovering moderately."

The assessments were left unchanged for Hokkaido, Tohoku, Hokuriku, Kinki and Okinawa.

The ministry revised up its assessments on production in Tokai, Chugoku, Shikoku and Kyushu, citing strong production of automobiles as well as smartphone-related products for major U.S. and Chinese makers.

The ministry kept its assessments on private consumption unchanged for nine regions except Kanto and Tokai.

Sales of automobiles, including hybrid vehicles and cars equipped with automatic braking systems, and high-performance consumer electronics, such as 4K ultrahigh-definition televisions, were robust, the ministry said.

But sales were sluggish for women's clothing at department stores, for vegetables and seafood at supermarkets and for ice cream at convenience stores, it said. Jiji Press