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Top 3 Money Transfer Providers for UK to Japan

Provider Amount Received Fee Exchange Rate Speed
TorFX TorFX 1,401,093.89 £0.00 140.1094 1-3 days more...
Moneycorp Moneycorp 1,397,573.55 £0.00 139.7574 1-3 days more...
Currencies Direct Currencies Direct 1,392,645.08 £0.00 139.2645 1-3 days more...
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UK
There are no exchange controls in the UK for the pound sterling (GBP), and transferring money to the UK and sending money from the UK is very easy Read More
JAPAN
There are no limits on the amount of foreign currency that can be transferred to Japan or the amount of money that can be transferred out of Japan, but the physical transport of any currency over ¥1m must be declared to national customs authorities Read More
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Japan Money Transfer Guide

Daniel Webber
Daniel is Founder and CEO of FXcompared and has 18 years of experience in the international finance world focusing on cross-border payments, technology and the property sectors. Daniel is widely quoted as an expert within the money transfer industry including by The Economist, The Wall Street Journal, Reuters, CNBC and Bloomberg. Daniel is passionate about helping consumers and businesses find the best and most efficient ways to transfer money internationally.

Contents

Summary

There are no limits on the amount of foreign currency that can be transferred to Japan or the amount of money that can be transferred out of Japan, but the physical transport of any currency over ¥1m must be declared to national customs authorities.

Japan’s money transfer regulations

The government has largely deregulated all money transfers to and from Japan, including the transfer of interest, royalties, corporate profits and dividends, and capital repatriation. A limited number of restrictions remain, however – for example, the Foreign Exchange and Foreign Trade Act requires that foreign investment in sectors that are considered to have “national sovereignty or national security implications” must obtain prior approval from the Ministry of Finance if the sale includes over a 10% share of the Japanese entity. High-priority sectors include agriculture, petroleum, utilities, and telecommunications.

The Japanese yen (JPY) was the third-most traded currency in the world in 2018, after the US dollar (USD) and the euro (EUR), but ahead of the British pound (GBP). It is also the third-biggest reserve currency in the world, with 4.9% of the world’s reserves made up with yen in 2018.

Japan’s regulatory authority

Monetary policy is conducted by the central bank, the Bank of Japan, which is responsible for overseeing the financial system and ensuring price stability. The Bank of Japan’s oversight extends to financial service institutions that settle foreign currency transactions, including payment systems, securities settlement systems and “trade repositories”, under its goal of ensuring monetary stability. In addition, the Financial Services Agency (FSA) ensures that banks, insurance companies and other financial service providers comply with national regulation.

Japan was a participant in commitments by the G7 and G20 in February 2013 to refrain from manipulating exchange rates in order to serve domestic policy or competitive objectives. The US stated that it intends to include a currency manipulation clause in its trade deal with Japan, when talks were announced in 2019.

Taxation and property

Japan’s tax rates are relatively high, including a 25.5% rate each for corporate income, capital gains and branch taxes. Withholding taxes average around 20% for dividends and royalties, and between 15% and 20% for interest. However, the government has reduced the tax rates applied to registration, licensing and capital gains on real estate in recent years, in order to encourage higher turnover in the property market. Non-residents are required to pay taxes only on income earned in Japan, and the country has signed 50 double taxation agreements.

Japan’s economic background

Japan is the world’s third-largest economy and a major trade power. However, foreign direct investment (FDI) in Japan as a proportion of GDP is the lowest among all member states of the Organisation for Economic Co-operation and Development (OECD). Under the government’s new Growth Strategy, Prime Minister Shinzō Abe announced in mid-2013 that Japan aims to double FDI flows into Japan to JPY35tn by 2020. This target was reconfirmed in 2016, and as of March 2019 is still the aim for the Japanese government. The country has few foreign exchange controls today, and the government aims to further open up to foreign capital by easing monetary policy and introducing fiscal incentives.

Currency

The Bank of Japan is responsible for issuing and distributing the national currency, the yen (symbol ¥). Coins are available in denominations of ¥1, ¥5, ¥10, ¥50, ¥100 and ¥500. Banknotes are printed in denominations of ¥1,000, ¥2,000, ¥5,000 and ¥10,000.

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Top 8 Money Transfer Providers

Exchange Rates as of 19 November 2019, 06:35

Currency Solutions

Currency exchange specialists ranking No.1 on Trustpilot for the past two years

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Currency exchange specialists ranking No.1 on Trustpilot for the past two years

Bank Beating Rates

Currencies Direct

Call us0203 018 1318

Bank-beating FX rates | Safe and secure | Free transfers for FXcompared customers

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Bank-beating FX rates | Safe and secure | Free transfers for FXcompared customers

Bank Beating Rates

TorFX

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Est. 2004

Bank-beating FX rates | Safe and secure | Free transfers for FXcompared customers

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Bank-beating FX rates | Safe and secure | Free transfers for FXcompared customers

OFX (UK)

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Est. 1998

OFX (previously UKForex in the UK), provides secure and speedy international money transfers to over 300,000 people in 55 currencies at better-than-bank rates

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OFX (previously UKForex in the UK), provides secure and speedy international money transfers to over 300,000 people in 55 currencies at better-than-bank rates

WorldFirst

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Est. 2004

Transparency and security | Great customer feedback rating from Feefo

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Transparency and security | Great customer feedback rating from Feefo

Moneycorp

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Est. 1979

One-off payments | Regular payments | Great rates | Safeguarded customer funds

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One-off payments | Regular payments | Great rates | Safeguarded customer funds

Special offer

InstaReM

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Est. 2014

Use code FXINSTA10 and get a Bonus of the equivalent to $10 on your first transaction

Headquartered in Singapore, InstaReM offers overseas money transfer service maintaining transparency in transactions by displaying an accurate break-out of transactions.

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Headquartered in Singapore, InstaReM offers overseas money transfer service maintaining transparency in transactions by displaying an accurate break-out of transactions.

Smart Currency Exchange

Smart is focused on helping clients to effectively and efficiently send and receive payments internationally
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Smart is focused on helping clients to effectively and efficiently send and receive payments internationally

FXcompared.com is an fx money comparison site for international money transfer and to compare rates from currency brokers for sending money abroad. The website and the information provided is for informational purposes only and does not constitute an offer, solicitation or advice on any financial service or transaction. None of the information presented is intended to form the basis for any investment decision, and no specific recommendations are intended.  FXC Group Ltd and FX Compared Ltd does not provide any guarantees of any data from third parties listed on this website. FX compared Ltd expressly disclaims any and all responsibility for any direct or consequential loss or damage of any kind whatsoever arising directly or indirectly from (i) any error, omission or inaccuracy in any such information or (ii) any action resulting therefrom.