The Japanese economy, which had been experiencing low growth for a long time, is showing signs of revival. In the second quarter of this year, Japan's real GDP grew by 1.5% from the previous quarter, with a total GDP of 561 trillion yen. This growth is attributed to an increase in exports, particularly in the automotive sector, as well as a surge in tourism due to the weak yen.
The weak yen has made Japan an attractive destination for tourists, with the number of Korean tourists visiting Japan increasing significantly. The yen's value has fallen to around 800 won per 100 yen, making it the lowest in 8 years. This has led to an increase in demand for travel to Japan, investing in Japanese stocks, and yen deposits.
However, the weak yen is not entirely positive for the Japanese economy. Some Japanese companies, particularly small and medium-sized businesses, are struggling due to the increased cost of importing raw materials. The low yen has also led to a surge in bankruptcies among these businesses.
The Bank of Japan has maintained its easing monetary policy, but has recently shown signs of tightening by modifying its yield curve control (YCC) policy. This move is seen as a signal of tightening monetary policy, but the market has not yet accepted it as such.
The Japanese economy is heavily dependent on exports, and the low yen has given Japanese companies a competitive edge in the global market. However, this has also led to concerns among Korean exporters, particularly in the automotive and shipbuilding industries, who face stiff competition from Japanese companies.
Overall, the Japanese economy is showing signs of recovery, but the weak yen is a double-edged sword that has both positive and negative effects on the economy.
1. The Japanese economy, which had been in a period of low growth, is currently showing signs of revival.
2. In the second quarter of the year, the Japanese economy recorded growth that doubled expectations.
3. The Real GDP in the second quarter was 561 trillion yen, up 1.5% from the previous quarter.
4. Japan's growth rate this year, if the current positive trend continues, will surpass Korea's for the first time since the foreign exchange crisis in 1998.
5. Exports, particularly of Japanese automobiles, have been a significant contributor to this growth.
6. In the second quarter, about 1.07 million units of Japanese automobiles were sold, marking an increase of nearly 30% from a year ago.
7. The flood of foreign tourists' consumption also played a role in the growth.
8. In the first half of the year, 10.72 million people visited Japan, and the money spent alone amounted to 11 trillion won.
9. The low yen is attracting tourists and helping export competitiveness.
10. The demand for travel to Japan has surged, leading to an increase in the number of flights per year to Gimpo to 84 per week, the pre-corona level.
11. The number of Koreans who visited Japan in the first half of the year was 3,129,000.
12. The exchange rate of the Japanese yen has dropped from the low 900 won range per 100 yen to the high 800 won range today.
13. The Bank of Japan has maintained its monetary easing policy in the first half of the year, causing the value of the yen against the dollar to fall by 4.54% this year alone.
14. The number of tourists who have visited Korea is increasing, with the number of young people planning to enter Canada, Australia, etc.
15. There are restaurants run by foreigners in Fukuoka City's Little Asia.
16. The Minimum Wage Committee lowered the minimum hourly wage by 4.3% in May, the largest increase in 20 years.
17. Japan has been experiencing an economic recession for 40 years with deflation and low prices.
18. The Bank of Japan raised the government bond interest rate, which has increased the demand to buy yen, and thus the value of the yen rose and import prices can be lowered.
19. Japan is the world's largest foreign investment market, with Japanese funds investing a lot in Japan.
20. Japan's stock market reached its highest level in over 30 years, and real estate prices also rose, starting in central Tokyo.
21. The Japanese economy's decline in simulated prices that has plagued the country for 30 years seems to be finally coming to an end.
22. Japan's inflation rate is maintaining the 3% range this year, showing that the economy is reviving.
23. The weak yen phenomenon seems to be positive for the Japanese economy as a whole.
24. The lower yen effect is producing excellent results, but there are potential downsides as well.
25. The value of the yen fell to the 800 won range for the first time in 8 years, making it very cheap and increasing demand for traveling to Japan, investing in Japanese stocks, and yen deposits.
26. The number of reservations for travel to Japan by travel agencies has increased by up to 80% compared to the previous month.
27. The size of yen deposits at domestic banks also increased by about 16% as of the 15th of this month.
28. The U.S. in the first quarter ranked 4th in market share after Hyundai Motor Group's Ford, which sold over 380,000 cars in the market.
29. The value of the yen has fallen to the lowest level in about 25 years, causing concerns that the low yen may act as an export variable.
30. The Japanese economy is showing signs of recovery across stock prices, prices, and corporate performance.