Japan's Finance Minister Fumio Kizawa Stresses Foreign Exchange StabilityA · FULL TRANSLATION

Taiwan investors and businesses are highly sensitive to yen movements and foreign capital flows, especially as economic ties between Taiwan and Japan grow. The Japanese Ministry of Finance's policy direction often influences regional capital flows. Although Finance Minister Fumio Kizawa did not explicitly mention market intervention in his remarks, he emphasized coordination with the BOJ to stabilize market confidence, showing the government's heightened concern over foreign exchange volatility. Japan's balancing act between monetary and fiscal policy has become increasingly difficult, particularly amid the contradiction between yen depreciation benefiting exporters but raising import costs. Coordination between the government and central bank will be crucial. Taiwan businesses with investments or trade in Japan should closely monitor future policy and market developments to assess risks and opportunities. Japan's coordination mechanism also provides a model for other Asian countries. In the current environment of global economic uncertainty, Japan's policy choices will have a lasting impact on the region.