S/ Katayama Satsuki, Finance Minister / On Friday, July 31, US Eastern Time, Japan’s Ministry of Finance conducted yen-buying intervention in coordination with the US Department of the Treasury. This was in response to the excessive volatility and disorderly movements recently seen in the yen. We will not hesitate to implement further joint interventions in the future.

Finance Minister Katayama Satsuki told reporters on the morning of August 3 that Japan and the United States carried out their first coordinated currency intervention in about 15 years.

She said Japanese and US financial officials have maintained close coordination since issuing a joint statement by the finance ministers of the two countries last September.

Katayama noted the possibility of additional coordinated intervention, signaling a desire to put a brake on the continued weakening of the yen.

Vice Finance Minister for International Affairs Mimura Atsushi told reporters that he views the latest joint intervention as the culmination of the Japan-US currency alliance.

He said the important part is what comes next, adding that the Finance Ministry intends to continue responding to the situation without letting its guard down.

Meanwhile, underlying issues remain unresolved, including the interest rate gap between Japan and the United States as well as concerns that the Takaichi government's policy of responsible proactive fiscal spending could worsen Japan's finances.

This joint intervention is just a temporary measure, and how authorities address these underlying concerns will be the key to achieving a lasting correction of the yen’s weakness.