TOKYO, Nov. 14 (UPI) -- Japan's economy grew 1.5 percent in the July-September quarter, or an annualized 6 percent rate, the first gain in four quarters, the government said Monday.
The new data showed the economy rebounding from a sharp slowdown after the devastation caused by the March 11 earthquake and tsunami.
The government announcement credited the rebound after three quarters of contraction to exports and domestic consumption, Kyodo News reported.
However, the government warned sustaining the momentum will be challenging, noting the export-dependent economy, the third-largest in the world, is threatened by slowing global growth, the financial crisis in Europe and the yen's persistent strength.
"The positive growth came on the back of rapid restoration of [nationwide] supply chains after the disasters," Economic and Fiscal Policy Minister Motohisa Furukawa said. He said the current economic recovery in Japan is moderating, Kyodo reported.
Japan's economy for all of 2010 grew by 3.9 percent.
