TOKYO (Kyodo) -- Japan's current account surplus grew 4.4 percent in 2019 from a year earlier to 20.06 trillion yen ($183 billion), up for the first time in two years, government data showed Monday.
The surplus in goods trade decreased 53.8 percent from the previous year to 553.6 billion yen, with exports sliding 6.3 percent to 76.12 trillion yen and imports falling 5.6 percent to 75.56 trillion yen.
The country saw significant improvement in its services trade, reversing a 806.2 billion yen deficit the previous year to a 175.8 billion yen surplus in 2019.
Primary income, which reflects returns on overseas investments, registered a 20.72 trillion yen surplus.
In December alone, Japan posted a current account surplus of 524.0 billion yen, marking the 66th straight month of black ink, according to a preliminary report released by the Finance Ministry.
In the month, the country had a goods trade surplus of 120.7 billion yen and a services trade surplus of 24.5 billion yen. Primary income registered a surplus of 400.
Comments, Analysis and Ideas:
The decrease in good trade should not be expected with the exports decreasing as cars mostly likely were a major challenge.
The decrease in imports though is a question mark as to why imports decreased, unless it might have had to do with the US/China situation although that has somewhat improved.
The increase in services is an ongoing plus and more and more services are becoming a larger part of the Japanese economy mix and not just a consumer good, cars, and manufacturing economy.
With the advent or increase of the 4th industrial revolution there might be even more increases in services, and of course products related to the 4th IR such as AI, robots, and such.
The increase in primary income is welcome as it means Japanese foreign investments overseas are continuing, which does help the overall economy.
And 66 straight months of black ink, must indicate an economy that is doing fairly well.
Despite maybe GDP growth of only around 1% as usual the Japanese economy keeps moving on.
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