Tokyo:  The world's third-largest economy, Japan, was barely managing growth in the months of October through December, growing at an annual pace of just 0.1%, down from an earlier 0.6% increase.

The seasonally adjusted gross domestic product, or GDP, estimate for the final three months of 2022 released by the Cabinet Office showed flat quarterly growth, down from the 0.2% growth previously predicted in February.

If the quarterly rate persisted for a full year, the growth would have been represented by the annual rate.

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The data released on Thursday showed a 0.2% decline, but domestic demand actually contracted by 0.3%, worse than the earlier release. Demand from the general public was up 0.3% from the initial reading.

The most recent figures highlight Japan's shaky recovery, despite the fact that the relaxation of regulations related to the coronavirus pandemic has been beneficial.

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Inflation, particularly the higher prices of energy, made worse by Russia's war in Ukraine, and a shortage of imported parts from China and the rest of Asia, such as computer chips for the auto industry, have caused Japan to struggle.

The recovery is anticipated to be supported by the return of economic activity, particularly tourism.

Restaurants and other businesses are happy to see the crowds back because vaccination is widely used in Japan. Despite the fact that COVID cases and deaths continue, the country has been gradually loosening restrictions on things like crowd size or mask wear.

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In the three months of July through September, Japan's economy shrank 0.3% from the prior quarter. The value of all the goods and services produced in a nation is its GDP.