Overview: Although Japan has few natural resources, since 1971 it has become the world's third-largest industrial economy, ranking behind only the US and the USSR. Government-industry cooperation, a strong work ethic, and a comparatively small defense allocation have helped Japan advance rapidly, notably in high-technology fields. Industry, the most important sector of the economy, is heavily dependent on imported raw materials and fuels. Self-sufficent in rice, Japan must import 50% of its requirements for other grain and fodder crops. Japan maintains one of the world's largest fishing fleets and accounts for nearly 15% of the total global catch. Overall

economic growth has been spectacular: a 10% average in the 1960s, a 5% average in the 1970s and 1980s. In 1989 strong investment and consumption spending helped maintain growth at nearly 5%. Inflation remains low at 2.1% despite high oil prices and a somewhat weaker yen. Japan continues to run a huge trade surplus, $60 billion in 1989, which supports extensive investment in foreign properties.

GNP: $1,914.1 billion, per capita $15,600; real growth rate 4.8% (1989 est.)

Inflation rate (consumer prices): 2.1% (1989)

Unemployment rate: 2.3% (1989)

Budget: revenues $392 billion; expenditures $464 billion, including capital expenditures of $NA (FY89)

Exports: $270 billion (f.o.b., 1989); commodities--manufactures 97% (including machinery 38%, motor vehicles 17%, consumer electronics 10%); partners--US 34%, Southeast Asia 22%, Western Europe 21%, Communist countries 5%, Middle East 5%

Imports: $210 billion (c.i.f., 1989); commodities--manufactures 42%, fossil fuels 30%, foodstuffs 15%, nonfuel raw materials 13%; partners--Southeast Asia 23%, US 23%, Middle East 15%, Western Europe 16%, Communist countries 7%

External debt: $NA

Industrial production: growth rate 9.0% (1989)

Electricity: 191,000,000 kW capacity; 700,000 million kWh produced, 5,680 kWh per capita (1989)

Industries: metallurgy, engineering, electrical and electronic, textiles, chemicals, automobiles, fishing

Agriculture: accounts for 3% of GNP; highly subsidized and protected sector, with crop yields among highest in world; principal crops--rice, sugar beets, vegetables, fruit; animal products include pork, poultry, dairy and eggs; about 50% self-sufficient in food production; shortages of wheat, corn, soybeans; world's largest fish catch of 11.8 million metric tons in 1987

Aid: donor--ODA and OOF commitments (1970-87), $57.5 billion

Currency: yen (plural--yen); 1 yen (Y) = 100 sen

Exchange rates: yen (Y) per US$1--145.09 (January 1990), 137.96 (1989), 128.15 (1988), 144.64 (1987), 168.52 (1986), 238.54 (1985)

Fiscal year: 1 April-31 March

NOTE: The information regarding Japan on this page is re-published from the 1990 World Fact Book of the United States Central Intelligence Agency. No claims are made regarding the accuracy of Japan Economy 1990 information contained here. All suggestions for corrections of any errors about Japan Economy 1990 should be addressed to the CIA.