Japan – two years of recession

Japan will face two years of economic recession, the Japanese Central Bank announced after revising its predictions, AFP informs. For the 2008-2009 fiscal year, the institution expects an 1.8% decrease, and a 2% decrease for the 2009-2010 fiscal year.

Previous estimates indicated a 0.1% growth for 2008-2009 and 0.6% growth in 2009-2010.

A comeback of the economy is expected for the 2010 – 2011 fiscal year, with a 1.5% economic growth.

Japan, the second largest economy of the world, entered the recession period in the third quarter of 2008, because of the international financial crisis. The Gross Domestic Product decreased 0.1% in Q3 and 0.9% in Q2.