Flow of Funds- Overview of Japan, the United States, and the Euro area -August 30, 2024
Research and Statistics Department
Bank of Japan*In this paper, major sectors are compared either among Japan, the United States, and the Euro areaor between Japan and the United States.

Ⅰ. Overview: Japan, the United States, and the Euro area
— Data are as of end-March 2024.

Chart 1-1. Financial assets and liabilities of financial institutions (assets)Japan
Assets ( 4,449trillion yen )Others8%

Depository corporations( 2,441 trillion yen )Equity 1%

Debt
securities 6%

Loans22%Currency and deposits
16%

Investment trusts
2%

Currency and deposits
1%

Equity 1%
Others5%

Insurance and Pension funds( 692 trillion yen )Debt
securities 1%
Others5%

Other financial institutions( 1,316 trillion yen )60

Investment trusts
1%

Equity5%40

Debt
securities 6%

Loans 1%Loans
16%
Currency and deposits
1%200Percentage ratio to the total financial assets of the financial institutions

United States
Assets ( 132.1 trillion dollars )Others1%

Depository corporations

Loans11%( 26.4 trillion dollars )Insurance, pension andstandardized guarantees 4%

Debt
securities 5%

Others4%

Insurance and Pension funds

Currency and deposits
3%

Equity7%

Debt
securities 6%( 40.8 trillion dollars )Investment trusts
6%
Others3%

Other financial institutions

Debt
securities 9%

Equity20%

Loans 3%Loans
15%

( 64.9 trillion dollars )60

Investment trusts
1%

40

Currency and deposits
1%200Percentage ratio to the total financial assets of the financial institutions

Euro area
Assets ( 88.5 trillion euro)
Others2%

Depository corporations

Loans18%Currency and deposits
13%( 36.3 trillion euro)
Investment trusts
5%

Debt
securities 6%

Equity 2%

Currency and deposits
1%

Insurance and Pension funds( 11.8 trillion euro)
Investment trusts
5%
Others2%

Other financial institutions

Equity 2%

Equity21%

Debt
securities 8%

Debt
securities 4%Loans 1%Loans
7%

( 40.4 trillion euro)
60

40

20

Currency and deposits
3%0Percentage ratio to the total financial assets of the financial institutions* "Other financial institutions" for Japan are the sum of "Securities investment trusts," "Other financial intermediaries," "Financial auxiliaries," and "Public captive
financial institutions."** "Others" is the residual which is the remaining after deducting "Currency and deposits," "Deposits with the Fiscal Loan Fund"(Japan only), "Loans/Borrowings,""Debt securities," "Investment trusts," "Equity," and "Insurance, pension and standardized guarantees" from total financial assets/liabilities.
*** "Currency and deposits" held by "Depository corporations" for US includes "Vault cash" and "Reserves at Federal Reserve."1Chart 1-2. Financial assets and liabilities of financial institutions (liabilities)
Japan
Liabilities ( 4,398trillion yen )Currency and deposits
39%

Borrowings
10%

Borrowings
1%

Debt
securities 1%

Depository corporations( 2,465 trillion yen )Equity 2%

Others4%

Insurance, pension
and standardized guarantees
12%

Insurance and Pension funds( 639 trillion yen )Equity 1%

Borrowings
9%

0Debt
securities 6%

Investment trusts
8%

Deposits with
the Fiscal Loan Fund 1%

Others2%

Equity4%

Other financial institutions( 1,294 trillion yen )204060Percentage ratio to the total financial liabilities of the financial institutions

United States
Liabilities ( 136.7 trillion dollars )Equity 2%
Currency and deposits
15%

Others1%

Depository corporations( 27.4 trillion dollars )Borrowings
1%

Equity 2%

Insurance, pension
and standardized guarantees
25%

Others4%

Insurance and Pension funds( 41.8 trillion dollars )Borrowings
3%
Investment trusts
27%

Debt
securities 12%

Equity5%

Others3%

Other financial institutions( 67.5 trillion dollars )

020

4060

Percentage ratio to the total financial liabilities of the financial institutions

Euro area
Liabilities ( 88.0 trillion euro)
Others1%

Currency and deposits
30%

Depository corporations( 35.7 trillion euro)

Borrowings
1%

Insurance, pension
and standardized guarantees 11%

Debt
securities 5%

Investment trusts
2%

Equity 2%

Others1%

Insurance and Pension funds( 11.6 trillion euro)

Equity 1%
Borrowings
8%

Investment trusts
19%

Others1%

Equity14%

Other financial institutions( 40.7 trillion euro)

0Debt
securities 4%204060Percentage ratio to the total financial liabilities of the financial institutions* "Other financial institutions" for Japan are the sum of "Securities investment trusts," "Other financial intermediaries," "Financial auxiliaries," and "Public captive
financial institutions."** "Others" is the residual which is the remaining after deducting "Currency and deposits," "Deposits with the Fiscal Loan Fund"(Japan only), "Loans/Borrowings,""Debt securities," "Investment trusts," "Equity," and "Insurance, pension and standardized guarantees" from total financial assets/liabilities.
*** "Currency and deposits" held by "Depository corporations" for US includes "Vault cash" and "Reserves at Federal Reserve."2Chart 2. Financial assets held by households
Debt securities(1.3%)

Debt securities(4.6%)

Insurance, pension andstandardized guarantees(24.6%)

Equity(14.2%)

Currency and deposits(50.9%)

Japan

Investment trusts(12.8%)

Others (3.6%)

Investment trusts(5.4%)

Insurance, pension andstandardized guarantees(27.7%)

Equity(40.5%)

United States( 2,199 trillion yen )( 122.5 trillion dollars )Others (2.7%)
Currency and deposits(11.7%)

Currency and deposits(34.1%)

Euro area

Debt securities(3.1%)

01020

Insurance, pension andstandardized guarantees(28.7%)

Equity(21.5%)30

Investment trusts(10.6%)

4050( 30.5 trillion euro)

Others (2.0%)

60

70

80

90

100

Percentage ratio to the total financial assets* "Others" is the residual which is the remaining after deducting "Currency and deposits," "Debt securities," "Investment trusts," "Equity," and"Insurance, pension and standardized guarantees" from total financial assets.

Chart 3. Financial liabilities owed by private nonfinancial corporations
Debt securities (3.9%)

Japan

Borrowings (22.6%)

Others
(14.1%)( 2,319 trillion yen )Others
(16.0%)( 97.8 trillion dollars )Equity (59.4%)

Debt securities(8.6%)

United States

Equity (69.9%)

Borrowings(5.5%)

Euro area

Borrowings (24.9%)

Others(12.6%)

Equity (59.0%)( 49.4 trillion euro)

Debt securities (3.5%)

01020

30

40

50

60

70

80

90

100

Percentage ratio to the total financial liabilities* "Others" is the residual which is the remaining after deducting "Borrowings," "Debt securities," and "Equity" from total financial liabilities.
** Figures for the euro area consist of nonfinancial corporations, which include both public and private nonfinancial corporations.

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Chart 4. Financial surplus and deficit of major sectors (as a percentage of nominal GDP)
Japan
20(%)
Private nonfinancial corporations
General government
Households
Rest of the world

15
10(Financial surplus)

50-5-10-15-20(Financial deficit)
05

06

07

08

09

10111213

1415

16

1718

1920

21

2223Fiscal year

United States
20(%)
Private nonfinancial corporations
General government
Households
Rest of the world

1510(Financial surplus)

50-5-10-15-20(Financial deficit)
05

06

0708

09

10

1112

13

141516

1718

1920

21

2223

Fiscal year

Euro area
20(%)(Financial surplus)

Nonfinancial corporations
General government
Households
Rest of the world

15
10
50-5-10-15-20(Financial deficit)
05

06

0708

09

101112

13

1415

16

1718

1920

212223Fiscal year

* See notes on the last page for the definition of each sector.

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Ⅱ. Overview: Japan and the United States— Data are as of end-March 2024.

Chart 5. Financial assets held by investment trusts
Currency and deposits (0.7%)
Debt
securities(10.1%)

Japan

Equity(30.4%)

Outward investment in securities(42.2%)

Investment trusts(4.4%)

Loans(6.2%)

Others
(6.0%)

Investment trusts(0.7%)

Currency and deposits (0.9%)

Debt
securities(29.1%)

United States

Equity(61.3%)( 36.4 trillion dollars )Loans(6.9%)0( 371.9 trillion yen)

Others (1.0%)

102030405060

708090100Percentage ratio to the total financial assets* "Others" is the residual which is the remaining after deducting "Currency and deposits," "Loans," "Debt securities," "Investment trusts," "Equity,"and "Outward investment in securities"(Japan only) from total financial assets.
** Data for US include both outward and domestic investment in securities.

Chart 6. Financial assets held by pension funds
Currency and deposits (6.6%)

Debt securities(22.8%)

Japan

Outward investment
in securities (28.5%)

Equity(10.8%)

Loans(5.4%)

Others(10.3%)( 175.2 trillion yen)

Others(11.6%)( 27.6 trillion dollars )Investment trusts(15.6%)

Currency and deposits (0.3%)

Loans(11.0%)

United States0

Debt securities(11.3%)

10

Investment trusts(21.3%)

20

30

Claims ofpension funds on
pension managers(16.4%)

Equity(28.1%)

40

50

60

70

80

90

100

Percentage ratio to the total financial assets* "Others" is the residual which is the remaining after deducting "Currency and deposits," "Loans," "Debt securities," "Investment trusts," "Equity,""Outward investment in securities"(Japan only), and "Claims of pension funds on pension managers"(US only) from total financial assets.
** Data for US include both outward and domestic investment in securities.

Chart 7. Financial assets held by insurance
Currency and deposits (3.3%)

Outward investment
in securities(20.6%)

Debt securities(47.3%)

Loans(6.9%)

Japan

Equity (7.9%)

Debt securities(41.3%)

Loans(8.0%)

01020( 517.1 trillion yen)

Investment trusts(4.0%)

Currency and deposits (1.6%)

United States

Others
(9.9%)

30

Investment trusts(13.5%)

40

50

60

Equity(12.5%)70( 13.2 trillion dollars )Others(23.2%)

80

90

100

Percentage ratio to the total financial assets* "Others" is the residual which is the remaining after deducting "Currency and deposits," "Loans," "Debt securities," "Investment trusts," "Equity," and"Outward investment in securities"(Japan only) from total financial assets.
** Data for US include both outward and domestic investment in securities.

5Notes to Charts 1 to 7
Data source
Bank of Japan, Flow of Funds Accounts, released on June 27, 2024
https://www.boj.or.jp/en/statistics/sj/index.htm/
FRB, Financial Accounts of the United States, First Quarter 2024, released on June 7, 2024
https://www.federalreserve.gov/releases/z1/
ECB, Euro Area Accounts, released on July 26, 2024
https://www.ecb.europa.eu/stats/macroeconomic_and_sectoral/sector_accounts/html/index.en.html

Sectors and transaction items
Sectors and transaction items of the United States [hereafter "US"] and Euro area [hereafter "EA"] are reclassified according to the Japan's Flow ofFunds Accounts (see below).
Sectors
Depository corporations[US] U.S.-Chartered Depository Institutions, Foreign Banking Offices in U.S., Banks in U.S.-Affiliated Areas, Credit Unions[EA] Monetary Financial Institutions other than Central Bank：Includes MMF
Insurance and pension funds (Sectors marked with an asterisk indicate pension funds)[US] Life Insurance Companies, Property-Casualty Insurance Companies, Private Pension Funds*, State and Local Government Employee
Retirement Funds*, Federal Government Employee Retirement Funds*[EA] Insurance Corporations and Pension Funds
Other financial institutions (Sectors with an asterisk indicate investment trusts. Sectors with double asterisks indicate nonbanks)[US] Money Market Funds*, Mutual Funds*, Closed-End Funds*, Exchange-Traded Funds*, Government-Sponsored Enterprises, Agencyand GSE-Backed Mortgage Pools**, Issuers of Asset-Backed Securities**, Finance Companies**, Mortgage Real Estate Investment
Trusts, Security Brokers and Dealers, Holding Companies, Other Financial Business[EA] Investment Funds (except MMFs), Other Financial Institutions
Private nonfinancial corporations[US] Nonfinancial Corporate Business[EA] Non-Financial Corporations : Includes both private and public nonfinancial corporations.
General government[US] State and Local Governments, Federal Government :Social security funds not included.
[EA] General Government : Includes social security funds.
Households[US] Households and Nonprofit Organizations[EA] Households and Non-Profit Institutions Serving Households- In Japan's Flow of Funds Accounts, households excludes private nonprofit institutions serving households.
Transaction items
Currency and deposits[US] U.S. Deposits in Foreign Countries, Checkable Deposits and Currency, Time and Savings Deposits[EA] Currency and Deposits
Loans/Borrowings[US] Net Interbank Transactions, Federal Funds and Security Repurchase Agreements, Loans[EA] Loans
Debt securities[US] Debt Securities[EA] Debt Securities
Investment trusts[US] Money Market Fund Shares, Mutual Fund Shares,
Total Shares Issued by Closed-End Funds and Exchange-Traded Funds (included in the liabilities side)[EA] Investment Fund Shares
Equity[US] Corporate Equities, Proprietors' Equity in Noncorporate Business, Equity Investment by Parent Holding Company, Foreign Direct
Investment: Equity, Equity in Federal Reserve Facilities, etc.
[EA] Listed Shares, Unlisted Shares and Other Equity
Insurance, pension and standardized guarantees[US] Life Insurance Reserves, Pension Entitlements (including Claims of Pension Fund on Sponsor)[EA] Insurance, Pension and Standardized Guarantee Schemes
Claims of pension funds on pension managers[US] Claims of Pension Fund on Sponsor
Financial surplus and deficit[US] Net Lending (+) or Net Borrowing (-) (Financial Account)[EA] Net Financial Transactions

NoteSome items with small amount outstanding are not explicitly shown on charts.

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