TOKYO, Sept. 9 (Xinhua) -- The Japanese economy increased at an annualized rate of 3.8 percent in the second quarter of 2013, revised up by 1.2 percentage points from preliminary data, Japanese Cabinet Office said Monday.
The April-June growth in real gross domestic product (GDP), or the total value of goods and services produced at home, corresponded to a 0.9 percent rise from the previous quarter, buoyed by robust consumer spending and an increase in exports.
Compared with the initial report released on Aug. 12, which said the country's economy expanded by 2.6 percent in the second quarter of this year, the revised growth figure obviously boosted confidence in the market.
Also supported by Tokyo's successful bid to host the 2020 Summer Olympic and Para Olympic Games, Tokyo stocks surged sharply on the same day.
The 225-issue Nikkei Stock Average closed up 344.42 points, or 2.48 percent, from Friday at 14,205.23, the highest closing level since Aug. 6. The broader Topix index of all First Section issues on the Tokyo Stock Exchange was up 25.18 points, or 2.19 percent, at 1,173.00.
Almost all 33 sectors gained, led by real estate, construction and warehouse issues. The miscellaneous products sector was the only decliner.
Analysts said the improved economic situation may pave the way for Prime Minister Shinzo Abe's plan to implement a tax hike as scheduled next year.
According to Economic and Fiscal Policy Minister Akira Amari, Abe will make a final judgment on Oct. 1 on whether to increase the country's sales tax from the current 5 percent to 8 percent in April next year.
Earlier in the day, Amari indicated that the tax hike is likely, due to the better-than-expected data and Japan's successful bid to host the Olympic Games, which may benefit the Japanese economy through tourism and investment in infrastructure.
The hosting of the Olympics will have spillover effects worth 2. 96 trillion yen (29.7 billion U.S. dollars) for the Japanese economy from 2013 to 2020, the Tokyo metropolitan government estimated.
However, Amari said, if Abe decides to raise the sales tax rate, the government needs to announce a package of measures to prevent the hike from hurting the economy, which has recently shown signs of emerging from nearly two decades of deflation.