 "Representational image. AP")
Japan lost its status as the world’s top creditor country for the first time in 34 years, despite having a record amount of offshore assets.
According to figures issued Tuesday by the Ministry of Finance, Japan’s net overseas assets at the end of 2024 was ¥533.05 trillion ($3.7 trillion), an increase of around 13% from the year before.
Despite being an all-time high, Germany’s net external assets of ¥569.7 trillion surpassed the level. With net assets of ¥516.3 trillion, China maintained its third-place position.
Germany’s rise is a reflection of its significant current account surplus, which in 2024 reached €248.7 billion, mostly as a result of robust trade performance.
According to the finance ministry, Japan’s surplus was ¥29.4 trillion, or about €180 billion. The growth in German assets relative to Japanese assets in yen terms was overstated last year due to a 5% increase in the euro-yen exchange rate.
Both foreign assets and liabilities increased for Japan as a result of the cheaper yen, while assets grew more quickly due in part to increased foreign company investment.