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Japan's economy falls into recession as virus takes its toll

 

Фотографии: akipress.kg

May 18, 2020, 13:08       Источник akipress.kg       Комментарии

AKIPRESS.COM - Japan has fallen into recession for the first time since 2015 as the financial toll of the coronavirus continues to escalate, BBC reports. The world's third biggest economy shrank at an annual pace of 3.4% in the first three months of 2020.
The coronavirus is wreaking havoc on the global economy with an estimated cost of up to $8.8tn (£7.1tn).
Last week, Germany slipped into recession as more major economies face the impact of sustained lockdowns.
Japan did not go into full national lockdown, but issued a state of emergency in April which severely affected supply chains and businesses in the trade-reliant nation.
The 3.4% fall in growth domestic product (GDP) for the first three months of 2020, follows a 6.4% decline during the last quarter of 2019, pushing Japan into a technical recession.
Consumers in Japan have been hit by the dual impact of the coronavirus and a sales tax hike to 10% from 8% in October.
While Japan has lifted the state of emergency in 39 out of its 47 prefectures, the economic outlook for this current quarter is equally gloomy.

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