Although there remains the risk of a temporary leveling-off by around the middle of fiscal 2010, as the effects of various policy measures taken at home and abroad wane, the general upward trend is unlikely to be broken, with the growth rate rising to well above the potential growth rate in fiscal 2011, underpinned by a self-sustaining recovery in overseas economies, particularly emerging economies.
The recovery in overseas economies, however, is likely to be moderate because considerable time may be required to overcome the various distortions accumulated in the global economy, mainly in industrialized countries. Therefore, it will take some time for the Japanese economy to achieve a full-fledged recovery.