Japan has revised up its growth figures for the January-to-March period, due to stronger growth in business investment.
The Cabinet Office said the economy grew 1.6% during the period, up from its initial estimate of 1.5%.
That translates into an annualised growth rate of 6.7% - up from the initial figure of 5.9%. Many analysts had expected a downward revision.
Japanese consumers and businesses increased their spending during the period ahead of April's sales tax rise.
Japan raised the sales tax, also known as consumption tax, from 5% to 8% on 1 April - the first hike in 17 years.
The increased spending ahead of the tax hike boosted Japan's growth.
Private consumption accounts for about 60% of Japan's economy.
But analysts have warned that spending may taper off in the current quarter, in part due to the tax rise and the spending surge before the hike.
"Looking ahead, output will surely shrink this quarter as consumers rein in spending after the consumption tax hike," Marcel Thieliant, Japan economist at Capital Economics, said.
Data released last month showed that retail sales in Japan fell 4.4% in April, compared with the same period last year, as the effect of the tax hike began to be felt.
However, Mr Thieliant added that business confidence had been improving in the country "which suggests that any weakness should prove short-lived".
Reference: BBC NEWS
Thanks to the policies of PM Shinzo Abe.
The Cabinet Office said the economy grew 1.6% during the period, up from its initial estimate of 1.5%.
That translates into an annualised growth rate of 6.7% - up from the initial figure of 5.9%. Many analysts had expected a downward revision.
Japanese consumers and businesses increased their spending during the period ahead of April's sales tax rise.
Japan raised the sales tax, also known as consumption tax, from 5% to 8% on 1 April - the first hike in 17 years.
The increased spending ahead of the tax hike boosted Japan's growth.
Private consumption accounts for about 60% of Japan's economy.
But analysts have warned that spending may taper off in the current quarter, in part due to the tax rise and the spending surge before the hike.
"Looking ahead, output will surely shrink this quarter as consumers rein in spending after the consumption tax hike," Marcel Thieliant, Japan economist at Capital Economics, said.
Data released last month showed that retail sales in Japan fell 4.4% in April, compared with the same period last year, as the effect of the tax hike began to be felt.
However, Mr Thieliant added that business confidence had been improving in the country "which suggests that any weakness should prove short-lived".
Reference: BBC NEWS
Thanks to the policies of PM Shinzo Abe.
