TOKYO (XINHUA) – Japan’s net external assets rose to a record JPY471.31 trillion (USD3 trillion) in 2023, up 12.2 per cent from a year earlier, as a weak yen inflated the value of foreign stocks, bonds and other holdings in yen terms, government data showed yesterday.
With the figure increasing for a sixth straight year, Japan retained its position as the world’s largest creditor for the 33rd straight year in yen terms, followed by Germany and China as of the end of 2023, according to the Ministry of Finance. Gross external assets, held by the Japanese government, companies and individual investors, rose 11.1 per cent to JPY1,488.34 trillion while external debt went up 10.6 per cent to JPY1,017.04 trillion, the ministry said.
The yen was seven per cent weaker against the US dollar in 2023 than a year before.
A sharp drop in the yen became a source of concern for importers and households as it inflates the costs of imported energy and raw materials, but also boosts overseas profits for Japanese exporters and the value of foreign assets such as stocks and bonds in yen terms.
