Cryptopolitan 2025-05-27 05:35:30

Japan loses top global creditor spot to Germany

For the first time in 34 years, Japan has relinquished its position as the world’s largest creditor nation, overtaken by Germany, according to data released by Japan’s Ministry of Finance. Even though Japan’s net external assets reached a record level , the stronger euro, the yen depreciation, and Germany’s export-led surplus also tilted the balance. At the end of 2024, Japan’s net external assets were ¥533.1 trillion (about $3.73 trillion), its Ministry of Finance said on Tuesday. The figure was up nearly 13% from last year, indicating an increase in foreign investment by Japanese companies. But Germany’s net external assets grew even steeper to ¥569.7 trillion ($3.99 trillion). That makes Germany the largest creditor nation on the planet. China held third place, with net external assets of ¥516.3 trillion ($3.62 trillion). Germany’s rise to the top is largely due to its huge current account surplus. In 2024, it rose to $282.99 billion, boosted by robust exports, particularly of luxury machinery, automobiles, and industrial equipment. By contrast, the surplus in Japan’s current account was ¥29.4 trillion, or about $205 billion. That’s a healthy number but nowhere near enough to keep up with Germany. Weak yen fuels Japan’s asset growth, but not enough to lead The devaluation of the yen was a big factor behind the growth of Japan’s foreign assets . The value of assets in the currencies appreciated when they were converted back into yen as the yen weakened against the euro and dollar. The yen fell roughly 11.7% against the U.S. dollar in 2024 and 5% against the euro. This caused euro-denominated German assets to look much larger in yen terms. By the end of 2024, Japan had gross external assets of ¥1,659 trillion ($11.61 trillion), or ¥169 trillion ($1.18 trillion) more than the preceding year. And yet its liabilities also surged, rising by ¥109 trillion ($0.76 trillion) to ¥1,126 trillion ($7.88 trillion). Although Japan posted strong figures, Germany’s surge in external surplus combined with favorable currency movements ultimately gave it the edge. Trade pressures push Japan to invest overseas Japanese businesses maintained their momentum of aggressive overseas investments in 2024, especially in finance, insurance, and retail. The United States and the United Kingdom remained key targets for these investments. Mergers and acquisitions overseas by Japan saw particularly strong growth. Such investments helped boost overall foreign assets but may not result in short-term gains. In the future, Japan’s status as a global creditor will hinge on how its companies fare in the global economy, particularly as rising geopolitical tensions and evolving tariff rules loom. President Donald Trump’s resurgence and trade policies may also influence where and how Japanese companies invest more. Some may move manufacturing or assets to the United States as an insurance policy against future tariffs or other trade blocks. Japan is still one of the world’s most fiscally solid countries. However, whether the country can sustain its economic success is uncertain, as longer-term challenges, such as the impact of an aging population, stubbornly low wages, and persistent deflation, threaten to hobble its economic growth over the long term. KEY Difference Wire : the secret tool crypto projects use to get guaranteed media coverage

La maggior parte ha letto le notizie

U.S. Trade Court Blocks Trump’s Tariffs: A La...
2025-05-28
XRP Futures Hit Regulated Markets With a Bang...
2025-05-28
Shape the Future: Vote for Bitcoin World Disr...
2025-05-28
“Ticket to Wealth” Belief Drives Bitcoin, Not...
2025-05-28
Pakistan to Launch Strategic Bitcoin Reserve:...
2025-05-28
Solana Price Rally Potential: Technical Indic...
2025-05-28
AI Startups: Seize the Opportunity to Compete...
2025-05-28
Solana chart hints at 180% rally to $300 if k...
2025-05-28

Notizie correlate

Crypto Weekly Spotlight: Injective Bulls Approach...
28 May 2025
Trump defends tariff tactics as smart negotiation
28 May 2025
SEC to Discuss DeFi and the American Spirit with K...
28 May 2025
Controversial Claims: Sunil Kavuri Alleges James W...
28 May 2025
Goldman Sachs Expert Predicts Significant Gold Pri...
28 May 2025
Amber International Achieves Record Q1 Revenue Suc...
28 May 2025

Leggi la dichiarazione di non responsabilità : Tutti i contenuti forniti nel nostro sito Web, i siti con collegamento ipertestuale, le applicazioni associate, i forum, i blog, gli account dei social media e altre piattaforme ("Sito") sono solo per le vostre informazioni generali, procurati da fonti di terze parti. Non rilasciamo alcuna garanzia di alcun tipo in relazione al nostro contenuto, incluso ma non limitato a accuratezza e aggiornamento. Nessuna parte del contenuto che forniamo costituisce consulenza finanziaria, consulenza legale o qualsiasi altra forma di consulenza intesa per la vostra specifica dipendenza per qualsiasi scopo. Qualsiasi uso o affidamento sui nostri contenuti è esclusivamente a proprio rischio e discrezione. Devi condurre la tua ricerca, rivedere, analizzare e verificare i nostri contenuti prima di fare affidamento su di essi. Il trading è un'attività altamente rischiosa che può portare a perdite importanti, pertanto si prega di consultare il proprio consulente finanziario prima di prendere qualsiasi decisione. Nessun contenuto sul nostro sito è pensato per essere una sollecitazione o un'offerta