The government's monthly assessment of the nation's economy for January shows that it is picking up slowly, although exports are weakening.

The report released on Tuesday left the previous month's assessment largely unchanged. Corporate output is slowly reviving and consumer spending is almost leveling off.

But the report lowered its outlook for Japan's exports, due to the global slowdown triggered by the credit crisis in the eurozone. It says exports were sluggish as shipments to Europe and Asia dropped.

Looking ahead, the report warns that a prolonged economic downturn and the strong yen could dampen Japan's production and exports.

Source: http://www3.nhk.or.jp/daily/english/20120117_22.html

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