The Japanese economy contracted a seasonally adjusted 0.2 percent on quarter in the first quarter of 2025, the Cabinet Office said on Friday – missing expectations for a decline of 0.1 percent following the 0.6 percent gain in the three months prior.
On an annualized basis, GDP was down 0.7 percent – again missing forecasts for a drop of 0.2 percent following the upwardly revised 2.4 percent increase in the previous quarter (originally 2.2 percent).
Capital expenditure was up 1.4 percent on quarter, exceeding expectations for an increase of 0.8 percent, which would have been unchanged from the preceding three months.
External demand was down 0.8 percent on quarter, while private consumption was flat.
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