Japan’s Finance Ministry has issued a rare English-language post on social media platform X (previously known as Twitter), calling on the company to take down an account that impersonated Masato Kanda, the top currency diplomat. The ministry advised users not to follow or comment on the account, stressing the importance of its removal. Mr. Kanda plays a crucial role in stabilizing the value of the yen, making him an influential voice in Japan’s monetary policy decisions.
The fake account, which had about 550 followers, has now been suspended. Although it had not made any comments on the yen or financial markets, the ministry confirmed the impersonation and requested X to suspend the account.
The yen has historically been considered a safe-haven currency for global financial markets during times of crisis. Still, it has recently experienced a decline against the US dollar due to Japan’s central bank maintaining its main interest rate below zero while other central banks raised their rates. The disparity in interest rates makes higher-yielding currencies more appealing to investors, leading to a decrease in demand for lower-yielding currencies like the yen.
Last week, the Bank of Japan decided to keep interest rates at ultra-low levels but also allowed rates to rise more freely. Despite this, the yen weakened, reaching its lowest level in over a month against the US dollar, trading at 143.89.