The survey evidence suggests that the economy is losing momentum and we’ve lowered our GDP growth forecast for 2019 to 0.5%. If the economy records yet another quarter of falling output, we suspect PM Abe may delay the sales tax scheduled for October yet again. By contrast, we think that the hurdle for additional easing by the Bank of Japan is very high.
Subscriber content
Read this in full, free
Start a free trial and use one of your 10 free starter credits to unlock this piece.