World Economy

Japan Economy to Stay Flat

Japan Economy  to Stay FlatJapan Economy  to Stay Flat

More than half of surveyed major Japanese companies expect the nation’s economic conditions to stay flat by the end of this year, citing such concerns as sluggish consumer spending, a firmer yen and effects of Britain’s decision to leave the European Union, a Kyodo News survey has shown. Of a total of 108 companies surveyed in mid- to late July, including Toyota Motor Corp. and Panasonic Corp., 60 firms, or 56%, said they think the economy will stay “flat” by the end of this year and nine firms projected a moderate slowdown, while 35 firms expected a moderate expansion. The survey results indicate Japanese companies are taking a cautious approach on their future business. In the survey, 39 surveyed firms, or the largest proportion at 36%, said they assume the dollar to average in a range between 110 yen to 115 yen in fiscal 2016 ending next March, and 18 firms expect the exchange rate to be in a range between 105 yen to 110 yen.