TOKYO (AFX-ASIA) - Japanese data this week will be particularly thin, with the tertiary-sector index the only major economic event, while markets focus on whether the government will deliver on anti-deflation plans, economists said. "The main interest will be the tertiary index. It was one of the indicators that confirmed the ongoing poor performance of the Japanese economy," Dresdner Kleinwort Wasserstein wrote. "The most recent release -- for November -- showed an especially sharp 1.7 pct gain on the month. With the shorter-term trends of industrial production and exports having improved, there will be a good deal of interest in (the index)". UBS Warburg economist Ayako Mitsui said markets will focus on whether the government will provide measures that back up recent optimism in the equity markets, particularly after US President George W Bush leaves Japan. "The attention would be paid more on the policy side especially after Bush's visit to Japan," she said. "The discussion on capital injection (into banks) would likely further heat up and the government would struggle for a while to present rationalised policies," she added. "The government is still deeply divided on not only the timing but also the need for another injection," Mitsui said. ING Baring chief economist Richard Jerram said an injection into the banks looks increasingly likely but the government's moves are not expected to be bold enough to sort out finally their non-performing loan problems. "The overall impression is that crisis will be averted with a moderate injection of public funds, perhaps around 10 trln yen, but that the measures will be inadequate in terms of resolving the problems," he said. "There appears to be no appetite for the sort of radical fiscal or monetary stimulus that could offer the hope of dispelling deflation." The following lists the range of forecasts given by surveyed economists for key economic indicators to be released this week (compared with previous period data or previous estimate):
JAPAN DEC TERTIARY INDEX, Thursday (8.50 am): -- up 1.3 pct-down 1.5 pct mth-on-mth (up 1.7; consensus flat)