According to Japan’s Finance Ministry and Cabinet Office, Business Sentiment Indicator of all large industries plunged to -47.6 in Q2, down from -10.1 in Q1. That’s the worst reading in 11 years. Large manufacturing BSI dropped to -52.3, down from -17.2. Large non-manufacturing BSI dropped to -45.3, down from -6.6. All industries medium BSI dropped to -54.1, down from -13.1. All industries small BSI dropped to -61.1, down form -25.3.
“There are many small businesses in the service industry which are greatly affected by the coronavirus,” the Ministry of Finance said. “The pandemic has contributed to a larger drop in business sentiment among small and medium-sized companies than during the crisis caused by of Lehman Brothers.”
