TOKYO: The Bank of Japan (BoJ) on Friday held off launching more stimulus as its chief said the world’s number-three economy was on the upswing, days after data showed stronger-than-expected growth in the first quarter.

The upbeat figures eased pressure on policymakers who kept the central bank’s annual 80 trillion yen ($662 billion) monetary easing programme in place after a two-day meeting. But some analysts say further action will be needed later in the year.

On Wednesday the government released figures showing Japan’s economy, which sank into a brief recession last year, expanded by a better-than-expected 0.6 per cent from the previous quarter.

In annualised terms, the economy expanded by 2.4pc in the January-March period — well ahead of tepid growth in the United States — as capital spending and the housing market showed signs of strength, although exports dipped slightly and consumer spending was weak.

Published in Dawn, May 23rd, 2015

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