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Ministry of Finance Japan

Policy Research Institute

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Business Outlook Survey

(January-March 2018)

Mar.12, 2018

1. Business conditions

Business survey index

(Difference of "up"-"down" compared with previous quarter)

(%points)

Oct.-Dec.
2017
(previous)
Apr.-Jun.
2018
(outlook)
Jul.-Sep.
2018
(outlook)
Corporations with capital of 1 billion yen or over
All industries 6.2 3.3 0.3 5.8
Manufacturing 9.7 2.9 -1.5 6.1
Non-manufacturing 4.5 3.4 1.2 5.7
Corporations with capital of 100 million to 1 billion yen
All industries 5.3 0.8 1.6 7.1
Manufacturing 13.1 -2.6 5.2 9.4
Non-manufacturing 3.0 1.8 0.6 6.5
Corporations with capital of 10 to 100 million yen
All industries -2.3 -9.9 -2.6 -1.6
Manufacturing 2.0 -8.0 1.4 1.4
Non-manufacturing -3.2 -10.3 -3.4 -2.2

2. Domestic economic conditions

Business survey index

(Difference of "up"-"down" compared with previous quarter)

(%points)

Oct.-Dec.
2017
(previous)
Jan.-Mar.
2018
(present)
Apr.-Jun.
2018
(outlook)
Jul.-Sep.
2018
(outlook)
Corporations with capital of 1 billion yen or over
All industries 13.6 8.6 5.5 6.4
Manufacturing 13.1 8.0 3.3 4.9
Non-manufacturing 13.9 8.9 6.6 7.1
Corporations with capital of 100 million to 1 billion yen
All industries 14.5 8.1 7.3 6.9
Manufacturing 18.0 11.0 7.3 8.8
Non-manufacturing 13.4 7.3 7.2 6.3
Corporations with capital of 10 to 100 million yen
All industries 0.0 -3.4 1.4 0.3
Manufacturing 4.1 -1.9 2.0 -0.2
Non-manufacturing -0.8 -3.7 1.2 0.4

3. Employment

Business survey index

(Difference of "insufficient"-"excessive")

(%points)

End of Dec.
2017
(previous)
End of Mar.
2018
(present)
End of Jun.
2018
(outlook)
End of Sep.
2018
(outlook)
Corporations with capital of 1 billion yen or over
All industries 19.5 21.9 14.5 13.3
Manufacturing 15.2 17.2 11.0 9.0
Non-manufacturing 21.7 24.3 16.3 15.4
Corporations with capital of 100 million to 1 billion yen
All industries 32.6 34.8 26.2 24.2
Manufacturing 30.4 32.3 21.6 18.2
Non-manufacturing 33.2 35.5 27.5 26.0
Corporations with capital of 10 to 100 million yen
All industries 29.5 31.9 25.5 24.0
Manufacturing 29.1 33.3 25.4 24.1
Non-manufacturing 29.6 31.6 25.6 23.9

4. Sales (compared with the previous year)

(%)

FY 2017 1st half
FY 2017
2nd half
FY 2017
FY 2018 1st half
FY 2018
2nd half
FY 2018
All industries 2.7 3.7 1.8 1.5 1.5 1.5
Manufacturing 4.4 5.4 3.6 2.8 3.2 2.3
Non-manufacturing 2.1 3.1 1.1 1.0 0.8 1.2

5. Ordinary profits (compared with the previous year)

(%)

FY 2017 1st half
FY 2017
2nd half
FY 2017
FY 2018 1st half
FY 2018
2nd half
FY 2018
All industries 5.2 17.0 -5.5 -1.2 -6.2 4.0
Manufacturing 11.2 35.8 -7.2 -1.9 -9.4 6.2
Non-manufacturing 2.7 10.1 -4.7 -0.9 -4.8 3.0

6. Software and investment in plant and equipment (compared with the previous year)

(%)

FY 2017 1st half
FY 2017
2nd half
FY 2017
FY 2018 1st half
FY 2018
2nd half
FY 2018
All industries 5.0 6.4 3.8 -6.5 -1.8 -10.6
Manufacturing 3.6 0.8 5.9 5.7 18.5 -4.5
Non-manufacturing 5.8 9.8 2.7 -13.2 -12.1 -14.1

Note: Excludes expense purchasing land.


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Policy Research Institute, Ministry of Finance

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