Japan forecasts baseline scenario assumes less than 1% real growth

Forecasts prepared by the Cabinet Office and submitted to the government’s economic and fiscal policy council who ‘baseline’ scenario which assumes real GDP growth of less than 1% and nominal GDP growth of around 1.5% in the medium to long-term.

Key points

Primary balance deficit will be JPY 9.2 trillion, or 1.7% of nominal GDP in FY2020

Primary balance deficit will be JPY 11 trillion or 2.1% of nominal GDP in FY2018