Reading the data: the monetary base is the sum of three itemsThe JPY 532 trillion of money the Bank of Japan puts out, and what it is made of
On November 4, 2026 (Reiwa 8), the Bank of Japan released the monetary base for October 2026. The monetary base is banknotes in circulation plus coins in circulation plus current account balances at the Bank of Japan. The average amount outstanding in October was JPY 532.5717 trillion, made up of JPY 114.0632 trillion of banknotes, JPY 4.5768 trillion of coins and JPY 413.9317 trillion of current account balances, of which reserve balances were JPY 382.1699 trillion. Current account balances make up close to 80 percent. The knack of reading the figure is that the direction of change depends on what it is compared with.
Key points
- The monetary base is the total of banknotes in circulation, coins in circulation and current account balances at the Bank of Japan. The average amount outstanding for October 2026 was JPY 532.5717 trillion (in that order, JPY 114.0632 trillion, JPY 4.5768 trillion and JPY 413.9317 trillion; of the current account balances, reserve balances were JPY 382.1699 trillion)
- The figure is released both as an average amount outstanding and as an amount outstanding at the end of the period. For October 2026 the average was JPY 532.5717 trillion while the month-end figure was JPY 537.2137 trillion
- Year-on-year changes in the average amount outstanding were minus 13.6 percent for the monetary base as a whole, minus 2.3 percent for banknotes, minus 1.1 percent for coins, minus 16.4 percent for current account balances and minus 15.2 percent for reserve balances
- By contrast, the seasonally adjusted change from the previous month, at an annual rate, was plus 4.9 percent for October 2026. Comparing with the same month a year earlier and comparing with the previous month can point in opposite directions
- Note the difference in scale. Cash, meaning banknotes plus coins, comes to JPY 118.64 trillion, far less than the JPY 413.9317 trillion of current account balances
What to do in practice
- When you hear that the monetary base has risen or fallen, check whether the comparison is year-on-year or month-on-month, and whether the figure is an average or a month-end balance
- When looking at what is moving, start with the change in current account balances, which account for most of the total
On November 4 the Bank of Japan announced how much money there was in October. This amount is called the monetary base, and it is the total of three things: banknotes issued, coins in circulation, and the money banks keep on deposit at the Bank of Japan. In October the average came to JPY 532.5717 trillion. The notes and coins in our wallets add up to about JPY 118 trillion, and the remaining JPY 414 trillion or so is money that banks keep at the Bank of Japan. In other words, far more of it sits out of sight.
- Banknotes in circulation (notes)
- JPY 114.0632 trillion
- plus coins in circulation (coins)
- JPY 4.5768 trillion
- plus current account balances at the Bank of Japan (banks' deposits)
- JPY 413.9317 trillion
- Monetary base
- JPY 532.5717 trillion
Points
- The monetary base is the total of banknotes, coins, and the money banks keep at the Bank of Japan
- In October the average was JPY 532.5717 trillion, of which about JPY 414 trillion was banks' deposits
- Compared with the same month last year it is down 13.6 percent, but the calculation that compares it with the previous month shows an increase
What the words mean
- Monetary base
- The amount of money the Bank of Japan puts out into the economy
- Current account balance at the Bank of Japan
- Money that banks keep on deposit at the Bank of Japan
- Year-on-year change
- How many percent it has risen or fallen compared with the same month last year
- Bank of Japan: Bank of Japan, Monetary Base
- Bank of Japan: Bank of Japan, Monetary Base (October 2026)
Economic news presents published statistics and outlooks. It is not investment solicitation or trading advice. Figures are as of publication and may be revised.
This article summarizes and explains materials published by government agencies and is not advice on any individual case. Rules can change, so for actual procedures and decisions always check the latest original materials and consult professionals such as tax accountants or labor and social security attorneys. English, Simplified Chinese and Traditional Chinese versions are translations prepared from the Japanese articles for convenience. If anything differs, the Japanese text and the original source take precedence.