BOJ Cuts Forecast For FY 2011 Due to Quake

The BANK OF JAPAN announced in its " Outlook for Economic Activity and Price" report (April 2011, The Bank's View) that its nine-member board now projects 0.6% growth in real gross domestic product for this year, compared with a 1.6% expansion forecast. For the fiscal year on April 1, 2012, it predicts a 2.9% expansion compared with 2.0% growth expected in January. The BOJ also mentioned in the same report that Japan's economy is likely to recover at a faster pace throughout the second half, partly due to a rebound from the first half, on the back of clear increases in exports and production.