Japan's current account surplus rose 3.2 percent from a year earlier to 2.26 trillion yen in April, remaining in the black for the third consecutive month, lifted by a significant contraction in the trade deficit, the government said Monday.
The surplus, which was the biggest for the reporting month, came as the country's trade deficit shrank 94.8 percent to 32.8 billion yen, as exports increased 4.0 percent to 8.77 trillion yen on the back of brisk demand for semiconductors and food items.
Imports decreased 2.9 percent to 8.80 trillion yen, led by a drop in the value of coal and crude oil purchases, according to the Finance Ministry's preliminary data.
The current account balance is one of the widest gauges of international trade. A ministry official said the impact of hefty U.S. tariffs imposed by President Donald Trump on the data has been "unclear."
Primary income, which reflects how much Japan earns from overseas investments, declined 9.6 percent from a year earlier to 3.59 trillion yen caused by a fall in earnings from direct investments due to a firmer yen.
The yen on average traded 5.9 percent higher against the U.S. dollar in April from a year earlier, according to the ministry.
Among other key components, the country's services trade deficit expanded 4.8 percent to 768.1 billion yen, affected by increased payments for intellectual property rights.
The travel surplus increased 18.3 percent to 675.7 billion yen, with around 3.91 million foreigners visiting Japan, up 28.5 percent from a year earlier.
A surplus in the travel balance means that spending by foreign visitors in Japan exceeded the amount spent by Japanese residents overseas.
© KYODO
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James Dean Jr.
Japan’s current account is looking healthier than most of us after Golden Week. Exports up, imports down, and tourists dropping yen like it’s a side quest. Sure, investment income dipped a bit — blame the yen for hitting the gym. But hey, when your trade deficit shrinks by 95%, even Ishiba might call it a win without needing a trillion-yen campaign promise.
Yubaru
In the middle of all the BS going on about lack of rice domestically is the fact that Japan EXPORTS rice, and it's EXPORTS of rice have been increasing yearly for over a decade!
https://www.asahi.com/ajw/articles/15441768#:~:text=RICE%20EXPORTER%20SEES%20RISING%20DEMAND&text=%E2%80%9CThere%20is%20still%20a%20lot,the%20United%20States%20and%20Singapore.
grc
Interesting to know what the current account balance with the US was
DanteKH
Off course. Manipulating your currency for a very weak Yen, in order to boost the profits for the mega corporations, what do you think was going to happen?
It's simple, Toyota, record profits, Honda, record profits, ENEOS, record profits, Fuji record profits, etc, etc.
While the inflation is at the record high, same as the prices (350Yen an (1) apple?!?!?), taxes and especially the living expenses.
Long live LDP and their corrupted and incompetent leaders...