Japan’s business sentiment hits 11-year high: survey

Confidence among Japan’s biggest manufacturers improved for the fifth straight quarter in the three months through December to touch an 11-year high, a key central bank survey showed Friday. The economy is picking up pace amid strong exports and investments linked to the Tokyo 2020 Olympics are giving a boost to the economy. The Bank of Japan’s Tankan’s quarterly survey of more than 10,000 companies showed a reading of 25, key index for large manufacturers’ sentiment. The index is calculated by subtracting the percentage share of enterprises responding “unfavourable” from those responding “favourable.” Firms are planning on average to boost capital spending by 10.2% year-on-year, according to the survey.