Retail sales in Japan increased by 0.9% in March compared to the same month last year, according to data from the country’s Ministry of Economy, Trade and Industry.

Analysts on average had expected a smaller increase of just 0.4%, Trading Economics reported.

According to the revised data, the figure fell 0.9% in February, not 0.8% as previously announced.

Consumption is recovering amid an improvement in COVID-19, experts said.

Sales of industrial goods in March increased by 1.8%, fuel – by 15.2%. Meanwhile, sales of food and beverages remained unchanged, while sales of vehicles decreased by 6.6%.

Retail sales rose 2% last month relative to February. This indicator grew for the first time in four months.

Experts expected a rise of 0.6%.

Industrial production in Japan in March increased by 0.3% in monthly terms, but fell by 1.7% compared to the same month in 2021, according to preliminary data. The consensus forecast had called for a 0.5% rise in the former figure and a 0.8% increase in the latter.

The number of homes started in the country last month rose 6% on a year-over-year basis. This came as a surprise to analysts who had expected a 0.5% decline.