EIU RESEARCH TIPS INFLATION RETURNING TO JAPAN THIS YEAR

LONDON – In an update of its Global Outlook forecast, the Economist Intelligence Unit is predicting 0.1 per cent inflation in Japan for 2013, moving to 1.7% in 2014, drifting to 1.6% in 2015, and to 1.4% in both 2016 and 2017. Inflation (at 1.4%) was last recorded in Japan in 2008, with deflation of 1.3% in 2009, 0.7% in 2010, and 0.3% in 2011, and a zero result in 2012. A key target of the Abe Government’s current economic policy is to encourage a return to inflation.