Skip to main content

Will the government stop the yen from weakening further?

Several commentators have expressed unease about yen weakness, with some even arguing that the government may intervene if the ongoing slide persists. But a weaker yen is a key transmission channel in the Bank of Japan’s efforts to lift inflation. The only credible way to stop the yen from depreciating would be to abandon aggressive monetary easing. We doubt this will happen any time soon.

Become a client to read more

This is premium content that requires an active Capital Economics subscription to view.

Already have an account?

You may already have access to this premium content as part of a paid subscription.

Sign in to read the content in full or get details of how you can access it

Register for free

Sign up for a free account to:

  • Unlock additional content
  • Register for Capital Economics events
  • Receive email updates and economist-curated newsletters
  • Request a free trial of our services


Get access