Japanese firms raised capital spending for the fourth straight quarter from January to March, underscoring the resilience of business investment despite uncertainty over the pandemic and the war in Ukraine.
Firm business expenditure could raise hopes for policymakers counting on cash-rich Japanese corporations to splurge on investment in plants and equipment to underpin a domestic demand-led economic recovery.
Capital expenditure in the first quarter of this year rose 3% from the same period last year, following a 4.3% increase seen in the fourth quarter, Finance Ministry data showed on Wednesday. Gains were led by transport equipment due to investment in new technology, and metals producers facing the need to boost output capacity.