Japan’s Finance Ministry announced on May 26 that the country spent a total of ¥11.73 trillion (about $74 billion) intervening in the foreign exchange market during April and May. This is the first official confirmation of yen-buying operations to support the exchange rate and represents a record amount for a single intervention period.
According to financial officials, the move was aimed at countering the yen’s sharp depreciation amid rising geopolitical tensions in the Middle East, which have driven up oil and import costs, putting pressure on Japan’s energy-dependent economy.
The intervention was carried out in multiple rounds, concentrated in late April and early May when the dollar-yen rate hit multi-decade lows. The Finance Ministry has not disclosed the timing or volume of each round but said it coordinated closely with the Bank of Japan (BOJ) to take necessary measures.
This is the largest forex intervention since 2022, when Japan spent about ¥9.1 trillion to stem the yen’s decline. Analysts said the record figure underscores the government’s determination to stabilize the currency market.
