Japan has now joined Hong Kong and Singapore in falling into the recession club. It is the first time in seven years that Japan has slipped into recession, and people are being warned to get ready for a bumpy ride.

Japan’s Chief Cabinet Secretary, Takeo Kawamura, said: “Given the deepening of the financial crisis in the US and Europe, there’s a concern that things could deteriorate even further.” However, despite the official confirmation of a recession, Japan’s Nikkei share average recovered from early losses and closed the day slightly up. Experts say Asian stocks mostly rose and government bonds cut their gains on hopes for more government rescues of struggling industries. Some business leaders are calling for Japan to take a leaf out of China’s book and consider a fiscal stimulus package.

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