"The economic recovery has had a weak tone recently due to a slowdown in the global economy, although some steadiness is still seen"
- Japanese government
Japanese government downgraded its growth forecast for the third consecutive month in October, amid deepening concerns that European debt crisis and China's slowdown intensified. It is the longest streak of downgrades since 2008, and the chance of further stimulus measures for the Bank of Japan has increased. Japanese economy expanded by 0.2% in April-June period.
"A further slowdown in global growth and volatility in financial markets may hurt Japan's economy, which are risks we must be vigilant to," said Economics minister Seiji Maehara.
"The economic recovery has had a weak tone recently due to a slowdown in the global economy, although some steadiness is still seen," the Japanese government said in its latest monthly report released on Friday.
The Nikkei 225 Stock Average added 0.51 per cent, or 43.81 points, to 8,577.93. The broader Topix Index advanced 0.65 per cent, or 4.67 points, to 722.99.
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