MNI BRIEF: Japan Q1 GDP Decline Revised Up On Consumption

Japan's economy fell at a slower pace than previously estimated during Q1, as the Cabinet Office revised up private consumption and the contribution from inventory, although capital investment declined by more than previously thought, the government's second preliminary data release showed on Monday.

The nation’s GDP growth registered 0.0% q/q, or -0.2% y/y, revised up from the first preliminary estimate of -0.2% q/q and -0.7% y/y.

Private consumption, which accounts for about 60% of Japan’s GDP, changed to 0.1% q/q growth from the previous 0.0%, with its contribution revised to 0.1 pp from 0.0 pp.

Capital investment rose 1.1% q/q, down from 1.4% in the first preliminary release. The contribution from capital investment and net exports was unchanged at 0.2 pp and -0.8 pp.

Private-sector inventory contribution was revised to 0.6 pp, up from 0.3 pp in the first estimation.

Public investment fell 0.6% q/q according to the second preliminary data release, down from the previous -0.4%, although its contribution remained unchanged at 0.0 pp.