16-05-2008

Japanese economy boosted by exports

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Driven by exports, Japan's economy has reported better-than-expected growth, it has emerged.

Covering the first quarter of 2008, the rate of growth in the country's gross domestic product pushed annualised expansion levels to a rate of 3.3 per cent.

Moreover, compared with the final quarter of 2007, the latest figures show growth levels of 0.8 per cent.

However, analysts have expressed some caution in relation to the country's future growth prospects.

"The strong growth suggests there may be a backlash in the April-June quarter," said Takeshi Minami, chief economist at Norinchukin Research Institute.

"The results appear a little too good to be true."

In contrast, growth in the US has been at a rate of 0.6 per cent.

Specialising in the field of consultancy and research, the Norinchukin Research Institute is affiliated to the Norinchukin Bank, an organisation established in 1923 and privatised in 1959.

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