Business sentiment among workers with jobs sensitive to economic trends deteriorated sharply to its worst level in nearly nine years in February due to growing concerns over the coronavirus outbreak.
The diffusion index of confidence among "economy watchers" such as taxi drivers and restaurant staff fell 14.5 points from January to 27.4, the lowest since the 23.9 logged in April 2011 in the wake of the Great East Japan Earthquake and tsunami in the Tohoku region.
The pace of decline was the fastest since April 2014, when the index dropped 15.6 points after the consumption tax rate was raised to 8 percent from 5 percent. The tax rate was further increased to 10 percent last October.