Corporate capital spending in Japan fell for the first
time in over four years during the recent quarter, largely
due to a cutback in spending in the leasing industry,
a survey by the ministry of finance showed.
MOF''s survey showed that capital spending dropped 4.9
per cent from a year ago during the April-June quarter
to $100 billion, the lowest for corporate investment spending
since the April-June 2005 period.
decline was mostly due to a large drop in capital expenditure
by the leasing industry where spending fell 22 per cent
and accounted for half of a 13.1-per cent decline in spending
by non-manufacturing industries, the ministry said.
spending in manufacturing industries rose 11.7 per cent,
marking the third straight quarter of double-digit growth
and the 17th consecutive quarter of expansion.
the January-March period, capital expenditure in Japan
rose 13.6 per cent, profits gained 7.4 per cent and sales
increased 6.3 per cent.
also see : General
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