Japan's Economy Slows, Missing Growth Forecasts: A Deeper Dive into the Consequences Jean's economy has been dealt a significant blow as the latest data reveals a sluggish growth rate of 0.3 percent in the second quarter, falling short of initial forecasts. The underwhelming performance can be attributed to a decline in consumption and capital spending, posing significant concerns for the country's economic trajectory. As the world's third-largest economy, Japan's slowdown is likely to have far-reaching implications for the global market. Key Highlights: Sluggish GDP growth: Japan's GDP rose by a mere 0.3 percent in the second quarter, missing initial forecasts and sparking concerns about the country's economic momentum. Decline in consumption: Weakened consumer spending, which accounts for roughly 60 percent of Japan's economy, has been a major contributor to the slowdown. Capital spending sag: A decline in capital expenditure has also hin...
The United Kingdom and India have signed a trade agreement aimed at reducing tariffs on goods ranging from textiles to whisky, cars, and spices, and to provide businesses with increased market access.
Terming the agreement a "landmark moment" for both countries, Starmer hosted Indian Prime Minister Narendra Modi for talks at Chequers, the country estate northwest of London, where UK and Indian trade ministers Jonathan Reynolds and Piyush Goyal formally signed the trade agreement.
In May, Starmer and Modi announced that they had reached a free trade agreement after three years of stop-start negotiations, with both sides rushing to seal an agreement in the wake of the tariff turmoil unleashed by United States President Donald Trump. The deal now has to be ratified by the UK Parliament.
"This is not the extent or the limit of our collaboration with India," Starmer said. "We have unique bonds of history, of family, and of culture, and we want to strengthen our relationship further, so that it is even more ambitious, modern, and focused on the long term."
Starmer also said that it is the biggest and most economically significant trade deal that the UK has made since its disengagement from the European Union in 2020. The OBR has made a forecast of exports and imports for the UK to be roughly 15 percent lower in the long run than if Brexit had not happened.
Standing together with Starmer for a media photo, Prime Minister Modi described the deal as a "blueprint for our shared prosperity".
For India, the deal stands as its biggest strategic partnership with an advanced economy and one that could serve as a pattern for a long-sought deal with the EU as well as talks with other regions.
The two countries simultaneously announced nearly 6 billion pounds ($8nm) worth of trade and investment agreements in AI, aerospace, dairy products, and pledged to collaborate closely on defence, migration, climate, and health.
The UK and India expect this pact to increase trade between both countries by 25.5 billion pounds ($34.4bn) and, eventually, 4.8 billion pounds ($6.5bn) annually in revenues for the UK.
The Ministry of Commerce and Industry said in May that 99% of Indian exports will bear no import duty under the agreement, which applies to products like clothes, shoes, and food.
Britain and India stand as the sixth- and fifth-largest economies of the world, respectively, with trade amounting to about GBP 41 bn ($55.3 bn) and investments providing sustenance for more than 600,000 jobs spread across both countries.
Starmer was also expected to discuss with the Indian prime minister the Air India tragedy of last month, which claimed 241 lives, while a London-bound flight crashed soon after its takeoff from Ahmedabad, in Western India.
Privately, 169 Indian passengers and 52 British nationals lost their deaths in the crash of June 12, one of the deadliest in terms of British deaths on record.
They have met a couple of times recently, last month at the G7 summit in Canada and in Brazil last year for the G20 meeting.
It was also planned that Modi would meet King Charles III during his short visit to the UK, his fourth visit since he assumed leadership of India in 2014.
SOURCE : NEWS AGENCIES