Japanese government on Wednesday raised its assessment of the economy for the first time in 11 months, citing a pickup in personal spending and improvement in jobs.

"The economy is recovering at a moderate pace, while some signs are seen of coming out of a weak situation," the Cabinet Office said in its monthly report for June.

The wording compares with the May report which said, "the economy is recovering at a moderate pace, while some weak movements continue to be seen."

The more upbeat description in the latest report suggests that the world's second-largest economy may exit from a pause in its recovery.

The June report said, "Personal spending is picking up and the employment situation is improving on a broader basis, though some severe aspects remain."

At the same time, however, the report indicated the recovery is still in a resting state, saying, "Exports are flat and industrial production is leveling off."

Exports to Asia and Europe are weakening, according to the report.

The government has said the economic recovery can restart after overcoming the leveling off in exports and production, which stems from global adjustments in the information-technology sector.

The report also said corporate profits are "improving" and capital investment is "increasing moderately" -- the same wording adopted in the May report.

Source: Xinhua