The coronavirus pandemic has undermined the health of economies around the world. However, whilst some countries simply try to convince citizens that the whole world is in economic agony, other countries publish positive quarterly results. Sometimes actions do speak louder than words.
Despite the new outbreaks of coronavirus strains, most countries are steadily recovering. Some governments bolster economic growth with the help of stimulus packages. By injecting money into the economy, they have ensured a quicker expansion. Some states even manage to break economic records in this difficult time. For instance, Japan surprised analysts with its indicators. The country's economy recovered much earlier than planned. In the second quarter of this year, it grew twice as fast as predicted. According to preliminary data, Japan's GDP in the period from April to June increased by 1.3% year-on-year. Notably, in the first quarter, the indicator fell by 3.7%. The rise was primarily facilitated by the growth of consumer spending and legal entities.
Yet, it is too early to rejoice. Besides, analysts warn that in the current quarter, due to the re-introduction of the state of emergency associated with a new surge of coronavirus cases, recovery may slow down. The outbreak of the Delta variant in other parts of Asia has again disrupted supply chains for some Japanese manufacturers. It may affect production and jeopardize the already fragile recovery.
