JAPAN GDP BEATS FORECASTS, BANK OF JAPAN MAY TIGHTEN POLICY

Japan’s economy grew 0.7% in the last quarter, more than expected.

Experts had predicted only 0.2%-0.3% growth.

The previous quarter’s growth was also revised up to 0.4%.

Overall, Japan’s economy grew 1.2% for the year.

This is double what the Bank of Japan (BoJ) expected.

However, not all parts of the economy grew much:

Private spending increased only 0.1%.

Business investment grew 0.5%.

Total demand stayed the same.

The strong GDP may lead the BoJ to tighten policy (make borrowing harder).