Strong Yen Eroding Japan’s Competitiveness, Yonekura Says

Japan’s competitiveness is being eroded by an “excessively strong yen,” the chairman of the nation’s biggest business lobby said.

Companies are finding it difficult to make capital investments because of uncertainty over the European financial markets, Hiromasa Yonekura, chairman of Nippon Keidanren, told reporters in Tokyo today.

Japanese companies expect the exchange rate to be between 75 to 80 yen to the dollar in the first half of 2012, said Yasuchika Hasegawa, the head of second-largest business lobby Keizai Doyukai, citing the results of a survey of managers.

To contact the reporter on this story: Shunichi Ozasa in Tokyo at sozasa@bloomberg.net

To contact the editor responsible for this story: Gearoid Reidy at greidy1@bloomberg.net

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