Abu Dhabi: Japan had a current account surplus of 4.06 trillion yen ($27.5 billion) in February, marking a return to the black for the first time in two months and achieving a record high for a single month. This was driven by increased exports amid strong auto and semiconductor-related demand, as per government data released on Tuesday.
According to Emirates News Agency, the surplus in the current account balance, which is one of the broadest measures of international trade, surged by 48.4 percent from the previous year. This resulted in the highest figure since comparable data became available in 1985, as reported by the Finance Ministry.
The country's goods trade posted a surplus of 712.9 billion yen, a significant turnaround from a deficit of 298.3 billion yen recorded in the previous year. Exports saw a 10.4 percent increase to 9 trillion yen, driven by robust shipments of vehicles to the United States and chip-making equipment to Taiwan.
Imports, on the other hand, decreased by 1.9 percent to 8.29 trillion yen, marking the first decline in three months. This was attributed to a fall in the value of crude oil and coal purchases, according to the ministry's preliminary report.
Additionally, primary income, which represents Japan's earnings from overseas investments, saw a 10.9 percent increase from the previous year to 3.88 trillion yen. This was the highest level recorded for February, bolstered by increased stock dividends and bond yields abroad.