Japan has lost its status as the world's largest creditor nation after 34 years, overtaken by Germany, despite Japan's net external assets reaching a record ¥533.05 trillion ($3.7 trillion) in 2024—a 13% increase from the previous year.
Germany's net external assets totaled ¥569.7 trillion, surpassing Japan's due to its substantial current account surplus of €248.7 billion in 2024, bolstered by strong trade performance. Japan's current account surplus stood at ¥29.4 trillion (approximately €180 billion).
The depreciation of the yen against the euro by about 5% in 2024 further amplified the value of Germany's assets in yen terms. While Japan's overseas investments grew, driven by a weaker yen and robust foreign direct investment—particularly in sectors like finance, insurance, and retail in the US and UK—Germany's stronger euro and trade surplus contributed to its ascent as the top creditor nation
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