Japan’s economic recovery is forecast to be losing momentum amid the growing concern over a synchronized global slowdown, according to economists surveyed by Bloomberg. The world’s third largest economy is expected to post an annualized 3.4% expansion in the quarter through June from the previous period, according to the median forecast by economists in the July 1-6 survey. That’s down from the 4% growth expected in the previous survey.
The recovery is forecast to keep slowing down from there with a 1% increase seen in the second quarter of 2023. The weaker outlook for Japan’s economy reflects worries abroad, with rising bets that there may be a recession in the US. Further slowdowns in Japan may mean Prime Minister Fumio Kishida will have to speed up any plans to provide additional support for consumers and businesses.