The Japanese Yen as an International Currency
Summary:
The role of the Japanese yen as an international currency is assessed. It is found that the determinants of international-currency use imply some increase for the yen’s use in international finance; however, the implications for the yen’s use in international trade are mixed. It is also shown that, despite Japan’s emergence as the world’s largest net creditor nation, Japan’s capital outflows have not significantly facilitated the yen’s internationalization. Data are presented showing that, although the yen’s use as an international currency has increased, it is still rather modest. Wider use of the yen as a regional currency in Asia has occurred, though a “yen-zone” does not appear to be emerging.
Series:
Working Paper No. 1991/002
Subject:
Balance of payments Banking Bonds Capital outflows Currencies Exports Financial institutions Inflation International trade Money Prices
English
Publication Date:
January 1, 1991
ISBN/ISSN:
9781451930993/1018-5941
Stock No:
WPIEA0021991
Pages:
62
Please address any questions about this title to publications@imf.org