Japanese govt. approves $116 billion stimulus boost

PanARMENIAN.Net - The Japanese government has approved a fresh 10.3 trillion yen ($116bn) stimulus package in an attempt to spur a revival in its economy, BBC News reported.

The package will include infrastructure spending, as well as incentives for businesses to boost investment.

The government estimated that the stimulus would boost Japan's economic growth by two percentage points.

Japan's economy has been hurt by a dip in exports amid slowing global demand and subdued domestic consumption.

The world's third-largest economy is currently in a recession, having contracted for two quarters in a row.

"Unfortunately, the previous administration failed to work out how to boost growth and expand the economic pie," Prime Minister Shinzo Abe said.

"It is vital that we have an economic strategy that can create jobs and raise incomes to sustain growth."