The Bank of Japan on Monday maintained its assessments of eight of nine regional economies on the back of improving employment and income conditions as the country’s economy continues to recover moderately.
The central bank upgraded its view on Hokkaido in northernmost Japan from the previous report in April, saying the region’s economy has been recovering moderately, citing an increase in production.
“We recognize that the economies are on the recovery track without a major regional gap,” a BOJ official said, with the central bank describing all nine regional economies as “recovering” in July, though their pace differed.
Indicating a recovery in housing demand, which had dropped after last year’s consumption tax hike, the BOJ raised its assessment of housing investment in six regional economies, including the Kanto-Koshinetsu region centering on Tokyo.
The central bank’s assessments on consumption were upgraded for Kanto-Koshinetsu and Hokuriku regions.