Japan's service sector sentiment index rose to 45.2 in December, a Cabinet Office survey showed on Tuesday.

The survey of workers such as taxi drivers, hotel workers and restaurant staff - called "economy watchers" for their proximity to consumer and retail trends - showed their confidence about current economic conditions climbed from 41.5 in November.

The Cabinet Office started compiling the data in comparative form in August 2001.

The outlook index, indicating the level of confidence in future conditions, rose to 46.7 in December from 44.0 the previous month.