Japan: New Beginnings

Japan: New Beginnings

Tokyo is reviving ambitions to be Asia’s top global financial hub. Many factors, including the country’s fully diversified economy and high level of household savings, favor the effort. But will it work this time around?

 
 
Source
Central bank

Bank of Japan

International Reserves

USD 1,271 billion (2018)

International Monetary Fund (IMF), data retrieved October 2019

Gross Domestic Product - GDP

USD 4,971.9 billion (2018, estimate)

GDP (Purchasing Power Parity)

Intl$ 5,594.5 billion (2018, estimate)

Real GDP growth
2007 2008 2009 2010 2011 2012 2013
1.7% -1.1% -5.4% 4.2% -0.1% 1.5% 2%
2014 2015 2016 2017 2018*    
0.4% 1.2% 0.6% 1.9% 0.8%    

*Estimate

GDP per capita - current prices

USD 39,305.8 (2018, estimate)

GDP per capita - PPP

Intl$ 44,227.2 (2018, estimate)

GDP (PPP) - share of world total
1980 1990 2000 2010 2019*
7.79% 8.89% 6.66% 4.94% 4.0%

*Estimate

 
 
Source
GDP - composition by sector
  • agriculture: 1.2% 
  • industry: 29.1% 
  • services: 69.1%

(2016 estimate)

Gross domestic expenditure on R&D; (% of GDP)

3.2% (2017)

OECD, data retrieved October 2019

 

Inflation
2015 2016 2017 2018* 2019*
0.8% -0.1% 0.5% 1% 1%

*Estimate

Unemployment rate
2015 2016 2017* 2018* 2019*
3.4% 3.1% 2.8% 2.4% 2.4%

*Estimate

Household saving rates

2.7% (2017)

 

Public debt (General government gross debt as a % of GDP)
2015 2016 2017* 2018* 2019*
231.6% 236.3% 235% 237.1% 237.7%

*Estimate

Public deficit (General government net lending/borrowing as a % of GDP)
2015 2016 2017* 2018* 2019*
-3.8% -3.7% -3.2% -3.2% -3%

*Estimate

Government bond ratings

Standard & Poor's: A+

Moody's: A1

Standard & Poor's / Moody's 

Market value of publicly traded shares
2016 2017 2018
USD 4,955.3 billion USD 6,222.8 billion USD 5,296.8 billion
Largest companies

Gunma Bank, Iyo Bank, Nippon Steel Trading, Suzuken, Juroku Bank, Hyakugo Bank, Hakuhodo DY Holdings, Seiko Epson, Shiga Bank, Hanwa, Toho Bank, Tokyu Fudosan, Ogaki Kyoritsu Bank, San-In Godo Bank, Nanto Bank, Hitachi, Central Japan Railway, East Japan Railway, Denso, JXTG Holdings, MS&AD Insurance, Seven & I Holdings, Japan Tobacco, Sumitomo, Panasonic, Canon, Nippon Steel, Orix, Mitsubishi Electric, Bridgestone, Toshiba, Marubeni, Daiwa House Industry, Japan Exchange Group, Sojitz, Shimizu, Kyushu Electric Power, Hoya, Meiji Holdings, Hankyu Hanshin Holdings, Tohoku Electric Power, Tokyo Century, Kobe Steel, Oriental Land, Cosmo Energy Holdings, Terumo, Ricoh, Concordia Financial Group, Kansai Electric Power, Fujitsu, Asahi Group Holdings, Fujifilm Holdings, Recruit Holdings, JFE Holdings, Mitsubishi Heavy Industries, Murata Manufacturing, Kubota, Rakuten, Aisin Seiki, Kirin Holdings, Nidec, Astellas Pharma, Asahi Kasei, Kawasaki Heavy Industries, Toppan Printing, Nitto Denko, Bandai Namco Holdings, Mitsui OSK Lines, Nippon Express, Haseko, Pearson, Hokuhoku Financial Group, SG Holdings, SBI Holdings, IHI, Nishi-nippon Financial Holdings, Kyushu Financial Group, Makita, San ju San Financial Group, Bank of Nagoya, Nomura Research Institute, Nippon Paint, Tomony Holdings, Isetan Mitsukoshi Holdings, Toyota Boshoku, Nippon Paper Industries, Mitsubishi Gas Chemical Company,, Fuyo General Lease, Mitsui Fudosan, Takeda Pharmaceutical, Komatsu, Suzuki Motor, Sompo, Shin-Etsu Chemical, Tokyo Electric Power, Sumitomo Mitsui Trust, Daikin Industries, Toyota Industries, Subaru, Mitsubishi Chemical, Fast Retailing, Toyota Tsusho, Mitsubishi Estate, Osaka Gas, Medipal Holdings, NEXON, Nippon Yusen, Kintetsu, Showa Denko, Shizuoka Bank, Alfresa Holdings, Lixil Group, OMRON, Nitori Holdings, Iida Group Holdings, Sekisui Chemical, Mebuki Financial Group, Mitsubishi Materials, Pan Pacific International Holdings, Yamaguchi Financial, NSK, Hachijuni Bank, Ajinomoto, Olympus, Renesas Electronics, North Pacific Bank, Minebea, Bank of Kyoto, Hiroshima Bank, Shimano, 77 Bank, Chugoku Bank, Tosoh, Shionogi, Dai Nippon Printing, Unicharm, Mitsui Chemicals, Koito Manufacturing, Fukuoka Financial Group, Shinsei Bank, Chugoku Electric Power, Daishi Hokuetsu Financial Group, Yamato Holdings, Eisai, Electric Power Development, Chiba Bank, Oji Holdings, Sumitomo Chemical, Tokyo Electron, Otsuka Holding, Isuzu Motors, Keyence, Japan Airlines, Fanuc, Dentsu, Mitsubishi Motors, Tokyo Gas, Daiwa Securities, Mazda Motor, Secom, Daiichi Sankyo, Inpex, Sumitomo Electric, Nintendo, Aeon, Resona Holdings, Sumitomo Realty, Idemitsu Kosan, Kao, Kyocera, West Japan Railway, Toray Industries, Chubu Electric Power, Sekisui House, All Nippon Airways, T&D Holdings, Nomura, Taisei, TDK, Kajima, Obayashi, Suntory Beverage & Food, AGC, Sharp, SMC, Shiseido, NEC, Yamaha Motor, Daito Trust Construction, Tokyu, Mitsubishi UFJ Lease, Sumitomo Metal Mining, Toyota Motor, Softbank, Mitsubishi UFJ Financial, Nippon Telegraph & Tel, Japan Post Holdings, Sumitomo Mitsui Financial, Sony, Honda Motor, Mitsubishi, Mizuho Financial, Nissan Motor, Tokio Marine Holdings, KDDI, Itochu, Mitsui, Dai-ichi Life Insurance, Universal Entertainment, Aozora Bank, Senshu Ikeda Holdings, Orient, Tokyo Kiraboshi Financial Group, JTEKT, Keiyo Bank, Japan Securities, Hyakujushi Bank, Hokkoku Bank, Yamada Denki, Jaccs, Kiyo Bank, Konica Minolta Business Solutions, Musashino Bank

 
 
Source
Current account balance

USD 175.3 billion (2018 estimate)

Current account balance by percentage of GDP

3.5 % (2018 estimate)

Exports as percent of GDP (Exports of goods and services)

17.8% (2017)

Shares in world total merchandising export

3.79% (2018)

Shares in world total commercial services export

3.25% (2018)

Total exports

USD 927.6 billion (2018 estimate)

Export commodities

14.9 motor vehicles, 5.4 iron and steel products, 5 semiconductors, 4.8 auto parts, 3.5 power generating machinery, 3.3 plastic materials (2014 est.)

Total imports

USD 924.8 billion (2018 estimate)

 
 
Source
Import commodities

16.1 petroleum, 9.1 liquid natural gas, 3.8 clothing, 3.3 semiconductors, 2.4 coal, 1.4 audio and visual apparatus (2014 est.)

Exports - major partners

US 19.4%, China 19%, South Korea 7.6%, Hong Kong 5.1%, Thailand 4.2% (2017)

Imports - major partners

China 24.5%, US 11%, Australia 5.8%, South Korea 4.2%, Saudi Arabia 4.1% (2017)

FDI inflows
2016 2017 2018
USD 17,751 million USD 10,430 million USD 9,858 million
FDI outflows
2016 2017 2018
USD 151,301 million USD 160,449 million USD 143,161 million
Value of cross-border M&A, by country of purchaser
2015 2016 2017 2018
USD 50,623 million USD 73,398 million USD 65,428 million USD 36,026 million
Cross-border M&A deals worth over $3 billion completed in 2014

Suntory Holdings Ltd, Beam Inc, United States, USD 13.9 billion / Investor Group, Grohe AG, Germany, USD 4.0 billion

Cross-border M&A deals worth over $3 billion completed in 2015

Tokio Marine & Nichido Fire Insurance Co Ltd, HCC Insurance Holdings Inc, United States, USD 7.5 billion / The Dai-ichi Life Insurance Co Ltd, Protective Life Corp, United States, USD 5.7 billion / Japan Post Co Ltd, Toll Holdings Ltd, Australia, USD 5.1 billion

Best countries for doing business

Economies are ranked on their ease of doing business. A high ease of doing business ranking means the regulatory environment is more conducive to the starting and operation of a local firm.

Overall ranking:

29 out of 190 countries

Subcategories:
Starting a Business: 106 out of 190 countries
Dealing with Construction Permits: 18 out of 190 countries
Getting Electricity: 14 out of 190 countries
Registering Property: 43 out of 190 countries
Getting Credit: 94 out of 190 countries
Protecting Minority Investors: 57 out of 190 countries
Paying Taxes: 51 out of 190 countries
Trading across Borders: 57 out of 190 countries
Enforcing Contracts: 50 out of 190 countries
Resolving Insolvency: 3 out of 190 countries

Global competitiveness ranking

6 out of 141 countries

(2019)

Index of Economic Freedom

Ranking: 30 / Score: 72.1 (Mostly free)

(100=totally free 0=totally repressed)

 
 
Source
Time zone

UTC+9

Total area

377,915 sq km

Capital

Tokyo

Currency

Yen (JPY)

Government type

Parliamentary constitutional monarchy

Languages

Japanese

Religions

Shintoism 79.2%, Buddhism 66.8%, Christianity 1.5%, other 7.1%Shintoism 70.4%, Buddhism 69.8%, Christianity 1.5%, other 6.9% (2015 est.)

Total population
1990 2000 2010 2015 2020*
123.44 million 126.83 million 127.59 million 126.98 million 125.76 million

*Estimate

 
 
Source
Urban population as % of total population
1960 1980 2000 2018
63.3% 76.2% 78.6% 91.6%
Population median age

47.7 years

Population growth rate

-0.24% (2018 estimate)

Life expectancy

85.5 years (2018 estimate)

Literacy

N/A

% of population living on less than $3.10 a day

N/A

Inequality of wealth distribution (Gini index)

N/A

Freedom House rating

Free
Political Rights: 1
Civil Liberties: 1 (2019)             

(1 represents the most free, 7 the least free rating)

Source
Total telephone subscribers as % of population

Fixed: 49.9% Mobile: 139.2% (2018)
(fixed-telephone subscribers and mobile-cellular subscribers)

Internet users as % of total population

84.59 % (2017)

Mercer Cost of living index

Tokyo: 2nd
Osaka: 19th
Nagoya: 33rd

(2019)

CO2 emissions

9.54 metric tons per capita (2014)

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