ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronEye IconIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailPositive ArrowIcon PrintSite TitleTitle ChevronIcon Twitter
Economy

Japan's net external assets grow for 1st time in 2 years

World's top creditor again with 349 tn yen figure at end of 2016

 (placeholder image)
SoftBank Group Corp. Chairman and CEO Masayoshi Son speaks during an earnings briefing in Tokyo on July 28, 2016.   © Reuters

TOKYO -- It was announced on Friday that the balance of Japan's net external assets at the end of 2016 grew 2.9% from a year ago to 349 trillion yen ($3.13 trillion) -- the first increase in two years.

The Finance Ministry attributed the increased figure, which reflects assets held overseas by Japanese businesses, government entities and individuals minus such debts, to Japanese investors' accelerated business acquisition activity overseas and increased purchases of foreign bonds.

The latest figure, announced by Finance Minister Taro Aso at a Cabinet meeting, is second only to the 363 trillion yen for the end of 2014. It makes Japan the world's biggest creditor nation for the 26th consecutive year.

At the end of 2016, the balance of external assets totaled 997 trillion yen, up 5.0% from a year ago, reflecting more active overseas expansion by Japanese companies.

The stronger yen, however, has meant foreign currency-denominated assets decreased when measured in yen value. The yen at the end of 2016 had risen 2.3% against the dollar and 5.9% against the euro, compared to a year earlier.

The balance of external debts grew 6.2% to 648 trillion yen, driven by foreign direct investment into Japan and Japanese bonds purchases by foreign investors.

(Nikkei)

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

You have {{numberArticlesLeft}} free article{{numberArticlesLeft-plural}} left this monthThis is your last free article this month

Stay ahead with our exclusives on Asia;
the most dynamic market in the world.

Stay ahead with our exclusives on Asia

Get trusted insights from experts within Asia itself.

Get trusted insights from experts
within Asia itself.

Get Unlimited access

You have {{numberArticlesLeft}} free article{{numberArticlesLeft-plural}} left this month

This is your last free article this month

Stay ahead with our exclusives on Asia; the most
dynamic market in the world
.

Get trusted insights from experts
within Asia itself.

Try 3 months for $9

Offer ends April 30th

Your trial period has expired

You need a subscription to...

  • Read all stories with unlimited access
  • Use our mobile and tablet apps
See all offers and subscribe

Your full access to the Nikkei Asian Review has expired

You need a subscription to:

  • Read all stories with unlimited access
  • Use our mobile and tablet apps
See all offers
NAR on print phone, device, and tablet media