Dec 17 (Nikkei) - Japan has forecast a rise of around 4% in the country's gross domestic product for fiscal 2021, up from its prediction of 3.4% growth in July, Nikkei has learned.
The upward revision comes after the government came up with additional measures to lessen the impact of the coronavirus pandemic.
The government puts growth for fiscal 2020 at about minus 5%, lower than its previous prediction of a 4.5% contraction, due to the rising number of COVID-19 cases.
The cabinet will approve the latest forecast soon. The government announces the next fiscal year's economic outlook at the end of the year and estimates tax revenue, drafting the following year's budget based on the forecast.
If the prediction is correct, fiscal 2020 will be Japan's first full year of economic contraction since World War II. The Tokyo Olympics are expected to be held next year and fiscal 2021 is forecast to record the country's strongest growth since 1990.
