Japan’s Ministry of Economy, Trade and Industry announced Wednesday it will conduct an emergency survey of approximately 200 companies to assess how the recently strong yen has affected their operations, the Nikkei business daily reported on its online edition Wednesday.
The news comes as the dollar dropped to a 15-year low against the yen Wednesday at Y84.72, a development that is likely to increase concerns among Japanese exporters. A strong yen makes Japanese products more expensive overseas and eats into revenue sent back to Japan.
The trade ministry’s survey will question firms on how the recently strong yen has impacted upon management issues related to exports, as well as sounding out how companies intend to deal with the effects of the strong yen going forward, according to the Nikkei.
Meanwhile, minister of Economy, Trade and Industry Masayuki Naoshima said Wednesday that while the government and Bank of Japan are of the same mind on the strong yen problem, they have a difference of perspective on the issue, according to the business daily. The remarks come after the central bank concluded a regular policy meeting Tuesday at which it refrained from taking any additional easing measures that analysts say would be one way to try to curb yen strength.
“The recent yen strength may exert a big impact on the Japanese economy, even in the medium- to long-term,” the Nikkei reported Naoshima as saying. Japanese companies are subject to major foreign exchange risk, necessitating consideration of whether present conditions are fair, Naoshima said, according to the Nikkei.
But echoing analysts’ comments, Naoshima suggested unilateral intervention may be difficult for now. “While there could be a big effect if international coordinated intervention were possible, it would be rather difficult for Japan to intervene on its own,” Naoshima said, according to the Nikkei.