With Japan’s economic rebound halfway into its fourth year and driven by domestic demand, the IMF sad the medium-term outlook for Japan’s economy is favorable.  The forecast GDP growth could reach 2.9% this year, slowing to just over 2% in 2007.

The Japan Times reports new data showing Tokyo’s first surge in land prices in 13 years.  The average land price along select major streets in Tokyo grew 0.4% form a year before.  At this juncture in the economy, Japanese banks may be better than Japanese technology and export firms.  Utility stocks are flush with cash and investors can expect them to pay dividends.

With lower unemployment, better balance sheets and a thriving economy, investors can benefit from the growth in Japan using iShares MSCI Japan (EWJ) exchange traded fund.

Yaser Anwar is a guest author at ETFtrends & the editor of Investment Ideas by Yaser Anwar blog. The author of this article is not a registered financial advisor & does not give investment advice. This article does not comprise any solicitation to buy or sell securities, ETFs or other investment vehicles.