Japan: finding new ways
Since the last decade of the 20th century, Japan has been stuck in a deflationary economic spiral, but now a fragile growth is emerging. While the country finds new ways to prosper and can look forward to hosting the Olympic Games in 2020, public investment is not expected to provide the fast track to prosperity. Cement producers will find most support in private investment and exports, which are resuming their upward trajectory.
Japan’s economic growth has been fragile in recent years, oscillating between 1.7 per cent in 2012 and -0.03 per cent in 2014. Last year GDP edged upward by 0.5 per cent with a similar figure expected for 2016. Going forward, it is forecast to be around 0.6 per cent in 2017, according to the IMF.
Meanwhile, annual inflation reached 0.79 per cent in 2015, down from 2.75 per cent reported in 2014. In addition, the country’s high national debt of 226 per cent of GDP and high unemployment have been adding to its economic woes.