Survey: Yen weakness is bad for business

Difficult to cope: An illustration of the 10,000 yen and US$100 banknotes in Tokyo. The yen fell to its lowest against the dollar in about 20 years on Wednesday, slumping past 126 yen (RM4.24). — AFP

TOKYO: More than three-quarters of Japanese firms say the yen has declined to the point of being detrimental to their business, according to a Reuters poll, with almost half of companies expecting a hit to earnings.

The results of the Reuters corporate survey are one of the clearest signs yet that much of Japan Inc is struggling with higher costs and worsening consumer demand caused by the yen’s weakness.