According to the June 2016 Tankan, firmness is seen in business fixed investment plans for fiscal 2016 as a whole, including those of large manufacturers, for which profit projections have deteriorated as the expected exchange rate has shifted toward appreciation of the yen.
As for the outlook, business fixed investment is projected to continue to see a moderate uptrend on the back of (1) corporate profits at high levels, (2) extremely stimulative financial conditions such as low interest rates and accommodative lending attitudes, (3) the effects of various policy measures from the fiscal side, and (4) moderate improvement in growth expectations.