The Japanese economy grew at a slower pace than expected during the last quarter of 2017, and GDP rose by 0.5% on yearly basis as strong exports failed to offset weak domestic demand. Market expectations were for the economy to grow by 0.9% after growing by 2.2% After revised from 2.5% in the third quarter of the same year.
The Japanese economy is growing for the eighth straight quarter, the longest growth since the late 1980s. Japan's economy grew by 1.6% in overall 2017 compared to a growth of 0.9% in 2016.
Investment in the housing sector declined despite the rise in total consumer spending, which represents the largest proportion of GDP. The recovery of global demand helped Japanese manufacturers, thanks to the strong growth of China, the US and other major economies, keeping unemployment below 3%.
