Japan’s economy rebounds 5% in the third quarter
Japan’s economy expanded by 5 per cent in the third quarter of 2020 as the country’s rebound from Covid-19 produced its first quarter of growth in a year.
The figure exceeded consensus expectations of a 4.4 per cent rise. But in a sign of the severe damage wreaked by the pandemic, Asia’s largest advanced economy is still almost 6 per cent smaller than it was a year ago.
The partial rebound suggests a full recovery from the pandemic will prove protracted and difficult, especially if a recent rise in coronavirus cases develops into a larger wave. Japan recorded 1,722 new cases of Covid-19 on Saturday, the most recent day for which data was available, compared with 868 a fortnight earlier.
At an annualised rate, Japan’s economy grew 21.4 per cent, putting the scale of its rebound on par with that of other advanced economies. The US regained about two-thirds of its lost output in the third quarter.
(Source: Financial Times)