By Megumi Fujikawa
The Bank of Japan downgraded its view on all of the country's nine regional economies on Thursday as the coronavirus pandemic hit the nation's manufacturing and services sectors.
The bank reported the economies in the nine regions were either "weak" or facing "strong downward pressure."
In its quarterly Sakura Report, Japan's equivalent of the Federal Reserve's Beige Book report, a hotel operator in the western city of Kyoto said: "the number of domestic tourists, in addition to inbound visitors, is dropping sharply due to the impact of the novel coronavirus. Effects on the regional tourism industry is more significant" than during the global financial crisis in 2008.
Earlier in the day, Gov. Haruhiko Kuroda said there was strong uncertainty over outlook for the global economy. "The Bank of Japan will closely watch the impact of the novel coronavirus for the time being and will not hesitate to take additional easing action if necessary," he said at the opening of the bank's branch managers' meeting, which was held as a video conference.
Write to Megumi Fujikawa at email@example.com
Dow Jones Newswires