business investment: Pretax profits at businesses covered in the poll surged 26.6 percent from a year earlier to 20.13 trillion, the highest on record for the January-March period, according to The Japan Times. Capital spending data has been closely watched as the government of Prime Minister Shinzo Abe is encouraging companies to step up investment and raise wages to achieve economic growth driven more by domestic demand. Business investment by all non-financial sectors for purposes such as building plants and introducing equipment stood at 14.29 trillion 129 billion marking the second straight quarterly gain and the highest since the January-March quarter of 2008, shortly before the start of the global financial crisis. Japan's economy has been lifted by robust exports to Asia, with companies stepping up output. The latest figures reflects that the economy is on a moderate recovery path, a ministry official said. A recovery in crude oil prices also helped businesses that trade in resources.
(news.financializer.com). As
reported in the news.
Tagged under business investment, january-march topics.