"Japan's economy is going to improve in the coming months due to a weak yen and a pickup in exports"
- Yoshiki Shinke, chief economist at Dai-ichi Life Research Institute
Manufacturing output in the world's third largest economy is expected to pick up this month after the deepest fall since the aftermath of the March 2011 earthquake, as the central bank is poised to step up monetary stimulus this week. Output will increase 1% in March after a 0.1% monthly drop recorded in February, according to forecasts submitted for a Trade Ministry report released in Tokyo on Friday. In February production tumbled 11% compared to a year ago, posting the steepest decline since April 2011. During the policy meeting on April 4, the new Governor of the Bank of Japan is expected to announce more stimulus measures in order to boost growth and achieve 2% inflation target as soon as possible.
"Japan's economy is going to improve in the coming months due to a weak yen and a pickup in exports," said Yoshiki Shinke, chief economist at Dai-ichi Life Research Institute, a top-three forecaster of the economy last quarter in Bloomberg News surveys. "The Bank of Japan will do its best to live up to market expectations by boosting monetary stimulus and that will support corporate and household sentiment."
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