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Japan posts first current account deficit in nearly 1-1/2 years

  • Japan slipped into a current-account deficit in June (¥92.3bn), the first in 17 months and a surprise versus economists' expected ¥1.51tn surplus.
  • The shortfall was driven by much larger dividend payouts to foreign investors (primary income fell 74%) and higher oil import costs.
  • Despite June’s dip, the first-half surplus reached a record ¥17.4tn, helped by strong semiconductor exports for AI data-centers.
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