Japan economy to rebound

Analysts are forecasting that Japan’s economy will rebound later this year after Friday's earthquake and tsunami left parts the economy frozen.



Some of the country's leading producers, including the world's biggest carmaker, Toyota, have closed all of their plants in Japan.



Analysts at Nomura expect that loss of production to dent the economy during this quarter and the next.



However, they suggested growth would return in the third quarter.



The Japanese economy, the third largest in the world, shrank at the end of last year and had been expected to return to growth in the second quarter of 2011.



The electronics industry was also expected to be badly hit, with a report by Goldman Sachs saying there would be extreme damage in the near term.



Sony has suspended production at eight plants in the affected Japanese region but it says it’s not sure when production would restart.