JPY Exchange Rate
Ahh, Japan: home of YKK, the world’s largest clothing zip manufacturer, and approximately 1500 earthquakes every year.
What influences the GBP/JPY exchange rate?
To understand what affects the GBP/JPY exchange rate, it’s important to understand a bit about carry trades. Carry trades are used by professional forex traders to capitalise on the interest rate differential between two currencies and potentially profit from higher interest earnings. Japan has had a negative interest rate for the last two decades, so carry trades provide consistent demand for Japanese yen. Therefore, interest rates can play a role in GBP/JPY exchange rates.
JPY is considered a safe haven currency and can be seen as a proxy for risk. Therefore, political and market turmoil--especially when they originate in the United States--may bolster the JPY exchange rate. The GBP/JPY exchange rate will also be affected by trade partnerships and policies concerning Europe. The aftermath of Brexit and the difficulties faced by continental Europe may continue to affect the pair for years to come.
"Japan and the UK share fundamental values and have strong and cooperative relations in various areas, including politics, economy, and security. The Government of Japan will continue to make efforts to maintain and strengthen the Japan-UK relations."
--Ministry of Foreign Affairs of Japan
Japan is the world’s 3rd largest economy just behind China and the United States.
Japan is the 4th largest export economy in the world with top exports including cars, vehicle parts, and integrated circuits primarily headed for China and the U.S.2 Only 1.5% of Japanese exports head to the U.K.
Japan’s birthrate is so low (1.4 births per woman) that the country sells more adult diapers than baby diapers.3 As of 2012, the number of pets was larger than the number of children.4
If you need to make a payment to Japan, use OFX so you don’t get stung by high bank margins and fees. Register today to get access to our low rates and personalised service.
Currency Name: Japanese Yen
Currency Code: JPY
Currency Symbol: ¥
Central Bank: Bank of Japan
Countries Used In: Japan
Major Unit: One Japanese Yen
Minor Unit: Sen (1/100 of a Yen)
Note Denominations: ¥1000, ¥2000, ¥5000, ¥10,000
Coin Denominations: ¥1, ¥5, ¥10, ¥50, ¥100, ¥500
Get extra with our Customer Rate
*This amount is calculated using our Customer Rate compared to the banks as at today’s date and are subject to change.
OFX fees not included in the conversion amounts shown above.
*Occasionally, third-party banks may deduct a fee from your transfer before paying your recipient. This fee may vary and OFX receives no portion of it.
CCY Worldwide Delivery Times
Some destinations for this currency include:
*Delivery times are indicative and measured in business days from the time your funds are received by OFX.