The Japanese government said Wednesday the economy was still deteriorating but for the first time in six months it did not downgrade its official assessment.
"The economy is deteriorating," the Cabinet Office said in a monthly report submitted to a meeting of economic ministers.
The description was the same as that used in the June report, when the government downgraded its verdict on the state of the world's second largest economy for the fifth straight month.
Despite the nation's sickly prognosis, Prime Minister Junichiro Koizumi rejected speculation that the government would consider a pump priming budget to breathe life back into the economy.
"I believe it is still too early to have discussions on a supplementary budget," he said during a televised debate later in the day.
Koizumi said domestic problems were not the sole cause of the country's economic slide.
"Considering the situation, the global economy is facing a tough time now," he said – TOKYO (AFP)
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