Economic conditions had been deteriorating significantly in each of the nine regions in Japan, although there were slight regional differences, the latest regional economic report released by the Bank of Japan showed Friday. At the same time, seven of the regions lowered their assessment from the January report.
The latest assessments showed that economic conditions in Chugoku and Shikoku were deteriorating, while those in Tohoku, Hokuriku, Kanto-Koshinetsu, Kinki, and Kyushu-Okinawa were deteriorating significantly.
Compared with the assessments in January 2009, Tokai and Chugoku maintained their previous assessments that say the level of economic activity is declining rapidly. However, all the other regions revised their assessments downward, mainly reflecting the fact that business fixed investment had declined substantially and private consumption had weakened as the employment and income situation became increasingly severe.
According to the April report, exports decreased substantially, mainly due to the deterioration in overseas economic conditions. Business fixed investment declined substantially amid the substantial decrease in corporate profits and the significant deterioration in business sentiment.
Private consumption weakened as the employment and income situation became increasingly severe. It was in a severe situation in the Hokkaido region. Other regions also saw weakness in private consumption, reporting that it was weakening or weak. Housing investment decreased. Under these circumstances, production decreased substantially, the BoJ said.
The regional economic report summarizes information from all regional research divisions, mainly at the Bank's branches in Japan.
For comments and feedback: contact email@example.com