Country Economic Forecasts - Japan
A solid outlook for domestic demand will support growth in 2018 and 2019, despite the risk of protectionism. Consumption will be helped by a robust labour market and a pick-up in wage growth, while investment will be supported by high utilisation rates and industrial upgrading. Export growth will slow, but the deceleration should be modest given strong demand for Japanese capital goods. Overall, we expect GDP to grow by 1.0% in 2018 and 1.1% in 2019.