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In June 2023, Reuters conducted a tankan survey by polling 493 major corporations, out of which 232 provided their responses.

The continuously robust performance of services, boosted by the post-Covid rebound, is reinforcing the belief that a decline in exports can be balanced out by solid domestic demand.

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The authorities would be pleased with any evidence indicating an enhancement in the Japanese economy. Such a positive development increases the likelihood of the Bank of Japan making alterations to its policies. However, a significant obstacle to this potential policy change is the Bank’s repeated expression of its desire for long-term and secure inflation rates, as it presently does not anticipate or observe this. In fact, the Bank foresees a decline in the consumer price index starting around October.

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The upcoming quarterly tankan survey by the Bank of Japan is scheduled to be released on July 3rd.

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The Reuters Tankan is a survey that takes place four times per year and is performed jointly by Reuters news agency and the International University of Japan.

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