Human beings are the same all over the world. We move around in search of jobs and business opportunities. We usually go to a new place to make our lives better and this is usually because the destination provides opportunities in terms of jobs, business and personal advancement.

For many years, Japanese people have been leaving Japan. By tabulating the number of Japanese leaving and netting off the numbers returning, over time, it is possible to see the trend of emigration. For most of the past decade, there has been a net exodus of Japanese, usually numbering between 50-100,000 per year.

But in 2014, this reversed. There was a net return of about 12,500 Japanese. The last time there was a net return of Japanese was in 2001. Would they have returned if opportunities in Japan had not been increasing?

David Fuller's view

Here is Bernard Tan's report.

I have read a considerable number of reports on Japan but this is the most relevant one for some time.  In fact, most of those which I can recall reflected pessimistically on the quantity of JGBs, the aging workforce, shrinking population, devaluing yen and minimal GDP growth.  What else is new?

Japan certainly needs a sustained period of growth to increase confidence and revitalise the economy.  I maintain that Abenomics definitely has the potential to achieve this.  A halt to the annual exodus of Japanese citizens and modest return in 2014 is a very promising sign. 

Moreover, the yen’s weakness since 2013 has to be viewed in perspective.  Shown inversely against the US Dollar for over 50 years, the yen was the strongest currency in the world prior to Abenomics.  That was obviously a ruinous policy which is now being addressed.  The Topix Index, shown since the mid 1960s, is currently in the second leg of a bull market which has secular potential.