Japanese companies raised spending on plant and equipment in the January-March period at the fastest rate since 2015, with a stronger-than-expected showing by manufacturers signalling a possible upward revision to first-quarter economic growth.
Capital spending has been a bright spot for Japan's economy, the world's third largest, which emerged from a pandemic-induced slump in the first quarter buoyed by rebounding consumption and surprise gains in business expenditure.
Japanese firms raised capital expenditure by 11.0% in the January-March period from the same period a year earlier, posting an eighth straight quarter of gains, the Finance Ministry data showed on Thursday.