The Japanese yen has fallen to its lowest level against the U.S. dollar since 1990, Bloomberg reported.
The yen is currently 153 against the U.S. dollar.
At the same time, the Japanese yen fell to its lowest levels against the Singapore dollar on Apr. 11, hitting 113.21 yen to S$1.
This record comes mere weeks after a 34-year low was set in late-March 2023.
Tourists and exporters win, locals lose
The yen's steady decline in recent years has meant the currency has lost around one-third of its value since the beginning of 2021, according to Reuters.
With the yen's decline, tourists visiting Japan will see their currencies go further, which, in turn, could increase the number of visitors to the country.
It's also a win for Japanese companies exporting goods across the globe, as they will see larger profits having made their money in non-yen currencies.
However, a weaker yen will increase the costs of importing energy and food.
As a result, the cost of living will increase for those living in Japan.
Japanese government may need to step in, again
In 2022, the Japanese government intervened when the yen dropped to 151.95 against the U.S. dollar.
“Whether this involves currency intervention or not, we authorities are prepared for all situations all the time,” said Masato Kanda, Japan’s top currency official, reported Bloomberg.
Finance Minister Shunichi Suzuki echoed the same sentiments, saying the government was watching the yen “with a high sense of urgency”.
Top image from Canva