TOKYO (AFX-ASIA) - Societe Generale economist Shuji Shirota said he will probably downgrade 2001 growth forecasts to flat to minus 0.5 pct, from the previous 0.2 pct growth, after the second quarter GDP figures. "Any recovery in 2002 will most likely be L-shaped," he said. He added that further easing by the Bank of Japan on Sept 19 is possible given the weak GDP and stock prices ahead of the fiscal half year-end. "We should be on the watch for further easing steps by the BoJ, which could come as soon as the Sept 18-19 monetary policy meeting," he said. "Political (and) global pressure is also likely to mount ahead of the G7 meeting of finance ministers and central bank governors on Sept 22," Shirota said. "On fiscal policy, a 2.5-3.0 trln yen budget supplement, focusing on jobs measures, is in pipeline," he added. On the figures themselves, Shirota said private consumption showed unexpected resilience, with a 0.5 pct rise, but other areas were weak. "Housing investment continued to fall even more sharply, by 8.8 pct, while business capital expenditures contracted for the second consecutive period, by 2.8 pct. Private demand decreased for the first time in a year," he said. "In the public sector, government expenditures remained firm, supported by growing social security spending and consumption of fixed capital. "However, a decline in public works spending dragged down investment by 4.1 pct. Exports fell more sharply than imports, as the slowdown in overseas economies weighs on exports while a higher import penetration ratio supports the latter even given the domestic economic slump."