• Downgrades exports saying mainly flat
  • Says economy on path to recovery at moderate pace

Out with their monthly economic report.

Slowing shipments to Asia one cause for the lower export expectations but they expect exports to pick up as overseas markets stabilise and the weaker yen. It’s the second month in a row they’ve downgraded exports as last month car exports to the US, India and South East Asia slowed.

They’re looking at high corporate profits to boost capital expenditure to spur labour demand.

Domestically they are looking for growth from increased public works and consumer spending.

There’s no change to the assessment of deflation.