Forecast for the Japanese Economy in Fiscal 2014 and 2015: May 2014

Even if Improvement in the Economy Continues, the Pace Will Be Slow

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1. Outlook for the Japanese Economy in Fiscal 2014 and Fiscal 2015 – Even if Improvement in the Economy Continues, the Pace Will Be Slow

(1)Current State of the Economy: Rapid Growth at the end of Fiscal 2013 Because of the Surge in Demand
(2)A Recession Can Be Avoided, but the Risk of a Downturn Remains
(3)Outlook for Fiscal 2014 and Fiscal 2015: Contribution of External Demand Will Be Marginal, and the Overall Pace of Recovery Will Continue to Be Moderate

2. Forecasts of Economic Activity by Sector

(1)Corporations
(2)Households
(3)Government
(4)Trends in Overseas Economies

3. Forecasts for Prices and Financial Markets