According to the data released by the Cabinet Office, Government of Japan, the second preliminary quarterly GDP estimates for the October - December 2022 period showed that the Japanese economy stagnated quarter-on-quarter during the period under review.
The first preliminary quarter GDP estimates had indicated that the island nation's economy had grown at rate of 0.2% in October - December 2022 period.
Japan had recorded a contraction of 0.2% (quarter-on-quarter) in its quarterly GDP during the July - September 2022 period.
The latest figure highlighted the fragility of a recovery in the economy, as private consumption grew less than initially anticipated amid rising cost pressures (0.3% as against 0.5% in the first estimate and after a flat reading in July - September 2022 period).
Concurrently, capital spending fell for the first time in three quarters (down 0.5%, matching the preliminary print and shifting from a 1.5% increase recorded previously).
Meanwhile, government spending increased further (0.3%, unchanged from the first estimate and after recording a 0.1% rise in July - September 2022 quarter).
Also, net trade contributed positively to the GDP, as exports increased by 1.5% while imports declined by 0.4% in the October - December 2022 period.
In the calendar year 2022, the Japanese economy grew by 1% (as against preliminary print of 1.1%), slowing from 1.6% in 2021, amid various global headwinds.
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