Japan Current Account Surplus Below Estimates

Japan’s current account surplus jumped to JPY 942.6 billion in January 2026 from JPY 344.6 billion in the same month a year earlier, though it came in slightly less than market forecasts for a gain of JPY 960 billion. The improvement was largely driven by a sharp narrowing in the goods account deficit, which shrank to JPY 600.4 billion from JPY 2,934.0 billion a year earlier, as exports surged 20.5% while imports declined 7.7%, reflecting softer energy import costs and resilient external demand. However, other components were less supportive. The primary income surplus, mainly earnings from overseas investments, fell to JPY 2,746.6 billion from JPY 3,520.0 billion, while the secondary income deficit widened slightly to JPY 489.3 billion from JPY 440.8 billion. Meanwhile, the services account deficit expanded sharply to JPY 715.3 billion from JPY 498.8 billion, partly reflecting stronger outbound travel and payments for foreign services.

Japan’s current account surplus fell to JPY 728.8 billion in December 2025 from JPY 1,071.8 billion in the same month a year earlier, falling short of market forecasts of JPY 1,060 billion. The primary income surplus inched lower to JPY 1,189.4 billion from 1,248.9 billion while the secondary income deficit edged higher to JPY 255.4 billion from JPY 242.3 billion. At the same time, the services account shifted to a deficit of JPY 340.1 billion from a small surplus of JPY 0.11 billion. In contrast, the surplus of goods account surged to JPY 134.9 billion from JPY 0.54 billion in the previous year, as exports (4.5%) rose faster than imports (3.7%).

Japan’s current account surplus increased to JPY 3,674.1 billion in November 2025 from JPY 3,338.9 billion in the same month a year earlier, topping market expectations of JPY 3,594 billion. The surplus of goods account surged to JPY 625.3 billion from JPY 119.1 billion in the previous year, as exports rose 5.1% while imports fell 0.5%. Also, the primary income surplus inched higher to JPY 3,380.9 billion from 3,374.5 billion. At the same time, the secondary income deficit narrowed to JPY 288.0 billion from JPY 422.4 billion. However, the services account shifted to a small deficit of JPY 0.44 billion from a surplus of JPY 267.7 billion.