Corporate capital spending rose 3.8 percent in the three months through December from a year earlier, recovering for the second consecutive quarter and reflecting improved earnings and sentiment, the Finance Ministry said Thursday.
But the result, coupled with weaker inventory investment, led to a mixed view on how the government will revise the economic growth data for the quarter in a report due out March 10, while there are concerns that the recent sharp rises in crude oil prices could derail the economic recovery by dampening business confidence.
The value of investment in plant and equipment by all industries excluding the financial and insurance sectors stood at ¥9.24 trillion. The rate of rise was slower than 5.0 percent in the previous quarter, which was the first hike in more than three years.