NewsFlash / Nickel / Japan's Economy Contracts 0.2% in Q1 Amid Stagnant Consumption and Falling Exports
Japan's Economy Contracts 0.2% in Q1 Amid Stagnant Consumption and Falling Exports
iconMay 16, 2025 11:26
Source:SMM
[Japan's Q1 Economy Contracts for First Time in a Year] A report released by the Japanese government on Friday showed that the country's economy contracted for the first time in a year in Q1. The economy contracted by 0.2% QoQ, while the market had expected a contraction of 0.1%. The real GDP growth rate, annualized, was -0.7% in Q1, far below the median market forecast of -0.2%. The revised GDP growth rate for the previous quarter was 2.4%. The decline in Japan's economy was attributed to stagnant private consumption and falling exports. Private consumption, which accounts for more than half of Japan's economic output, remained flat in Q1, while the market had expected a 0.1% increase. Japanese exports fell by 0.6% in the quarter, while imports rose by 2.9%.

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