The Bank of Japan became more optimistic about the economy in all nine regions for the first time since January 2006 and Governor Masaaki Shirakawa said exports and industrial production are recovering.
“The pace of economic deterioration was slower in all regions,” the central bank said in a quarterly report in Tokyo today. “Most regions, however, emphasized that their economies continued to be in a severe situation.”
Japan’s deepest postwar recession is abating, a government index of economic health showed today, yet central bank officials aren’t confident the rebound will be sustained. Shirakawa told the regional managers that while the economy will “show clearer evidence of leveling out over time,” businesses and households are likely to trim spending.