Japan’s current account continues to deteriorate, with the December number coming in below expectations – hitting a new low. For the whole of 2013 Japan showed the lowest surplus on record.
Energy imports and weaker yen continue to be the key culprits. Should oil prices rise further, the nation’s deficit could worsen.
Bloomberg: – The yen’s slide and increased demand for foreign energy due to nuclear plants closures are causing imports to outstrip exports. A surplus in overseas investment income is staving off the risk of a sustained deficit that could undermine investor confidence in a nation with the world’s largest debt burden.
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