Japan records first current account deficit in two years

Japan’s current account deficit in January stood at 257.6 billion yen ($1.75 billion), exceeding market expectations of a 230.5 billion yen deficit, according to Japan's finance ministry data released on Monday.

This marked the country’s first deficit in two years.

Imports surged by 17.7% year-on-year, driven by higher demand for smartphones and electronic parts ahead of the Lunar New Year holiday. Meanwhile, exports rose by 2.1%. The weak yen also contributed to the increased cost of imports during the month.