Japan raises January-March growth estimate

FILE - In this March 1, 2012 file photo, workers sort debris in Minamisanriku nearly a year after the March 11 tsunami hit the northeastern Japanese town, as the Japanese government aims to finish the entire tsunami cleanup process over the next two years. The Cabinet Office said Thursday, May 17, Japan's economy grew at an annual rate of 4.1 percent for January-March amid a gradual recovery from the catastrophic earthquake and tsunami of the previous year. (AP Photo/Shizuo Kambayashi, File)

TOKYO — Japan has raised its estimate of January-March economic growth to 1.2 percent compared with the previous quarter amid a recovery from last year’s earthquake and tsunami.

The Cabinet Office said Friday the figure was increased from 1 percent as private spending was higher than first estimated and corporate investment didn’t decline as much.

The revision means the economy grew 4.7 percent on annualized basis in the quarter compared with the initial estimate of 4.1 percent.

Consumer spending is lifting the world’s third-biggest economy, helped by government subsidies for green vehicles.

Public investment has also been growing, reflecting reconstruction spending on housing, roads and other building work following the March 11 disaster last year in northeastern Japan.