Japan's economy shrinks, raising fear of double-dip recession

Gross domestic product contracted an annualized 5.1% from the previous quarter, ending six months of double-digit growth, as businesses cut investment, government outlays fell

Japan’s economy shrank more than expected during the first three months of the year, raising the possibility of a double-dip recession as the country struggles to contain infections and speed up its vaccine rollout.

Gross domestic product contracted an annualized 5.1% from the previous quarter, ending six months of double-digit growth, as businesses cut investment, shoppers held back spending and government outlays fell amid a suspension of a travel-promotion campaign to help the ailing tourism industry.

Economists had forecast an overall contraction of 4.5%.

The worse-than-expected result leaves the economy in a vulnerable position this quarter, as Prime Minister Yoshihide