(VOVworld) – Japan is likely to experience slight growth in 2017, though consumers aren’t willing to pay higher prices. 

A construction site in Tokyo (Source: AFP/VNA)

According to the Cabinet, Japan's economy is projected to grow 1.5% in the next fiscal year. Personal expense, which makes up around 60% of Gross Domestic Product (GDP), is estimated to rise 0.8%. The estimated number is higher than the expectation of experts, who said Japan’s GDP will grow by 1%.

Although Japan is trying to boost economic growth through domestic demand, two of its biggest trade partners, the US and China, will still play a crucial role. A weaker Yen will benefit exporters, but it will raise import prices and hurt domestic consumers.