Japan's goods trade deficit hit a record high in 2013, sparking fears that the country could fall into a constant current account deficit in the near future.
If expectations intensify that the current account balance will remain in the red for an extended period, long-term interest rates would jump and the value of the yen could dive, worsening the economic and fiscal situation down the road, experts warn.
Last year, Japan logged a record trade deficit of ¥11.47 trillion, up 65.3 percent from the previous year, the Finance Ministry said Monday in a preliminary report, underscoring that the world's third-biggest economy is no longer an export powerhouse.