The International Monetary Fund on Tuesday slashed its projection for Japan's economic growth by the most of any developed country, while also cutting its growth estimate for the global economy in view of mounting geopolitical tensions.
In its semiannual World Economic Outlook report, the IMF said Japan will grow a real, or inflation-adjusted, 0.9 percent this year, down 0.7 percent from its earlier July estimate, citing the protracted impact of the April consumption tax rate hike.
"In Japan, the decline in domestic demand following the increase in the consumption tax was larger than expected," the Washington-based lender said.