Germany Becomes the World’s Top Creditor, Overtaking Japan After 34 Years:
Germany has overtaken Japan as the world’s top creditor country in 2024, ending Japan’s 34-year reign. This change, driven by current account surpluses, exchange rate dynamics, and structural economic trends, reflects broader transformations in global trade and investment patterns.Germany became the world’s largest net creditor, surpassing Japan for the first time since 1990. Despite Japan reaching record-high net external assets, Germany outpaced it in growth and valuation. Currency fluctuations and trade surpluses played a critical role in this reversal.
