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Japan Officially Declined Because Of COVID-19
Japan was the first world power to fall into recession because of Covid-19.
The Japanese economy has officially fallen into recession for the first time since 2015. It is also the first economic power in the world to decline due to Covid-19. According to official data, the Japanese economy has declined for the second quarter in a row, thereby theoretically being considered to fall into recession officially.
Specifically, Japan’s GDP in the first quarter of 2020 decreased by 3.4% compared to the same period last year, while this figure was down by 7.3% for the fourth quarter of 2019. The last time Japan fell into the current “technical” recession was in the second half of 2015.
“It is almost certain that the Japanese economy will decline more sharply in the second quarter, and we are in a full recession,” said Yuichi Kodama, chief economist of the Meiji Yasuda Research Institute.
The Covid-19 pandemic, which began in China, has spread globally, killing more than 310,000 people and disrupting supply chains around the world, thereby affecting production and business activities. Many countries are currently trying to launch bailout packages to boost the economy when consumers limit spending, and enterprises have production disruptions.
