Japan’s Net External Assets Reach Unprecedented High, Securing Its Position as the World’s Top Creditor

In 2023, Japan’s net external assets reached an unprecedented high of 471.3 trillion yen ($3 trillion), marking the sixth consecutive year of growth. Despite economic challenges, Japan maintained its position as the world’s top creditor, with Germany and China following closely behind in terms of net external assets. The country’s gross external assets totaled 1,488 trillion yen, while external debt amounted to 1,017 trillion yen.

The weak yen and increased direct investment abroad were key factors driving the annual increase in net external assets held by Japanese government, businesses and individuals. This trend underscores Japan’s continued global economic presence and influence.

In addition to the external asset data, revised current account balance figures were also released by the Ministry of Finance. Japan recorded a current account surplus of 21.4 trillion yen for the entire year of 2023, slightly higher than the preliminary estimate of 20.6 trillion yen. These latest numbers highlight Japan’s strong position in the global economy despite ongoing challenges and its strategic focus on global investments and asset management.