Prime Minister Naoto Kan attended a meeting of the Ministerial Council on Monthly Economic Report and Other Relative Issues at the Prime Minister's Office.

The Monthly Economic Report for May assesses the current state of the Japanese economy, stating that "The Japanese economy shows weakness recently, due to the influence of the Great East Japan Earthquake. Also, it remains in a difficult situation such as a high unemployment rate."

On prospects for the economy, it states "As for short-term prospects, weakness will continue for a while, due to the influence of the Great East Japan Earthquake. Afterwards, however, as production activities will recover, the economy is expected to resume picking up, reflecting improvement in overseas economies and the effects of various policy measures. There are downside risks that could stem from constraints of the electric power supply, a slow recovery of the supply chain and the influence of the nuclear accident and a rise in oil prices. It should also be noted that there is still a risk of the influence of deflation on the economy and a concern about a possible deterioration of the employment situation."