Although the Japanese economy has not yet got out of the severe situation, activities continue to improve moderately. In addition to the influence of various policy measures and of the Asian economic recovery, there are movements, mainly in the firm sector, gradually growing towards autonomous recovery.
Personal consumption remains broadly flat, despite the decrease in income is coming to an end.
The level of housing investment is stable as a whole with bullish condominium construction. Investment in plant and equipment continues its upward trend. The level of public works is lower than the level seen a year ago. Exports, especially those to Asia, have been rising modestly, despite a slowdown in exports to the United States and Europe. Industrial production continues to rise steadily.