Gross Domestic Product (GDP) of Japan 1.9% growth in 2023, but outperformed by the Asian archipelago Germany As a third world economy due to strong devaluation YenOfficial data released on Thursday (02/15/2024) showed.
At the exchange rate of US dollars, Japan finished 2023 with a nominal GDP of 4.2 trillion, below Germany's 4.5 trillion, according to figures released by the respective administrations.
In the last quarter of 2023, the Japanese economy shrank 0.1%, according to preliminary data released by the government, below market expectations of 0.2% growth.
It was the second straight contraction after -0.8% recorded between July and September, according to revised government data.
The The German economy is also not on the right track Its GDP contracted by 0.3% in 2023, according to official data released in January.
An exporting power like Japan, Germany is suffering from weak foreign demand, rising energy bills for its industry and high interest rates imposed by the European Central Bank to control inflation.
Instead, the Bank of Japan has chosen to maintain its ultra-accommodative monetary policy and negative interest rates, causing the yen to fall more than 18% against the dollar over the past two years.
This situation means that the topic of the third world economy, expected from October by the International Monetary Fund, is not perceived with great enthusiasm by the German public.
Moreover, this honor may be short-lived as India, now the world's most populous nation, will overtake both Germany and Japan in the coming years to rank only behind the US and China.
gs (afp, efe)
