Japan GDP shrinks more than estimates

Prudent spending: A woman walks in front of a Christmas decoration in Tokyo. Economists are expecting a 5.4% annualised growth for this quarter as spending drops. — Reuters

TOKYO: Japan’s economy shrank at a faster pace than first estimated as shoppers cut back further during summer’s Covid surge, a sign of the heightened risk now facing the recovery should the Omicron variant spread.

Gross domestic product (GDP) contracted an annualised 3.6% in the three months through September, revised figures from the Cabinet Office showed yesterday.