Overview: Although Japan has few natural resources, since 1971 it has become the world's third-largest 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 global
catch. Overall economic growth has been spectacular: a 10% average in the 1960s, a 5% average in the 1970s and 1980s. In 1990 strong investment and consumption spending helped maintain growth at 5.6%. Inflation remains low at 3.1% despite higher oil prices and rising wages because of a tight labor market. Japan continues to run a huge trade surplus, $52 billion in 1990, which supports extensive investment in foreign properties.

GNP: $2,115.2 billion, per capita $17,100; real growth rate 5.6% (1990)

Inflation rate (consumer prices): 3.1% (1990)

Unemployment rate: 2.1% (1990)

Budget: revenues $499 billion; expenditures $532 billion, including capital expenditures (public works only) of $52 billion (FY90)

Exports: $286.5 billion (f.o.b., 1990); commodities--manufactures 97% (including machinery 38%, motor vehicles 17%, consumer electronics 10%); partners--US 31%, Southeast Asia 29%, Western Europe 21%, Communist countries 3%, Middle East 3%

Imports: $234.7 billion (c.i.f., 1990); commodities--manufactures 50%, fossil fuels 24%, foodstuffs and raw materials 26%; partners--Southeast Asia 23%, US 23%, Western Europe 18%, Middle East 13%, Communist countries 7%

External debt: $NA

Industrial production: growth rate 4.6% (1990 est.); accounts for 30% of GDP (mining and manufacturing)

Electricity: 191,000,000 kW capacity; 790,000 million kWh produced, 6,390 kWh per capita (1989)

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

Agriculture: accounts for only 2% 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 11.9 million metric tons in 1988

Economic aid: donor--ODA and OOF commitments (1970-89), $83.2 billion; ODA outlay of $7.9 billion in 1989

Currency: yen (plural--yen); 1 yen (3) = 100 sen

Exchange rates: yen (3) per US$1--133.88 (January 1991), 144.79 (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 1991 World Fact Book of the United States Central Intelligence Agency. No claims are made regarding the accuracy of Japan Economy 1991 information contained here. All suggestions for corrections of any errors about Japan Economy 1991 should be addressed to the CIA.