Mumbai, April 3 -- The IMF is optimistic about Japan reaching the BoJ's 2% inflation target, backed by strong consumption and capital spending. After years of near-zero inflation, Japan's economy is stabilizing, with 2024 growth projected at 0.5% and inflation at 2%. However, risks remain from a global slowdown and weak domestic demand. February's 3.7% inflation, driven by high food costs, is expected to ease. The IMF suggests gradually scaling back monetary support if trends hold. Japan's GDP is forecast to grow 1.2% in 2025, with inflation slowing to 2.4%. The BoJ's recent rate hike to 0.5% reflects confidence in economic progress.
Published by HT Digital Content Services with permission from Capital Market....