Is it cost-effective to exchange Japanese Yen now? A comparison of four methods for exchanging Japanese Yen in Taiwan in 2025.

Is it worth exchanging for Japanese Yen now?

When it comes to exchanging yen, many people still use the old method—going to a bank counter for exchange. But did you know? For the same exchange of 10,000 New Taiwan Dollars, choosing the right method can make a difference of over 2,000 yen.

According to the latest market data, the TWD/JPY ( trend has some interesting points: at the beginning of the year, 1 TWD was exchanged for 4.46 JPY, dropped to 4.28 in April (when the yen was strongest), and has recently risen back to 4.81. The key is that the Bank of Japan's interest rate decision in June could change the exchange rate direction for the second half of the year.

The market generally believes that if the U.S. starts cutting interest rates in September and Japan continues to tighten its policy, the Japanese yen may have a chance to rebound in the second half of the year. The current price level is already relatively good compared to the past two years — if you have plans to visit Japan during the summer, shop, or invest, now is a good time to act.

4 Ways for Taiwanese to Exchange Japanese Yen: Pros and Cons Overview

) 1. Bank counter exchange = the most expensive way

Worst exchange rate, highest fees. Taking Taiwan Bank as an example, the cash selling exchange rate is only 0.2124 TWD/JPY (approximately 4.708), and it also has to align with the bank's business hours. Some banks (such as Yuanta and Yongfeng) also charge an additional handling fee of 100-200 TWD.

Suitable for whom: Those who are not familiar with online operations and need cash temporarily at the airport.

2. Online currency exchange + Over-the-counter withdrawal = Balanced plan

Open a foreign currency account, monitor the exchange rate 24/7 on the bank app, and buy in at the “spot sell” rate when it is low (better than cash exchange rate). Buying in batches can also average out exchange rate fluctuations. There are only handling fees when withdrawing cash, which is significantly lower than over-the-counter costs.

Who is it suitable for: Those with some investment experience who regularly use foreign currency.

3. Online currency exchange = Airport quick cash plan

No need to open a foreign currency account, just select the currency, denomination, withdrawal time, and branch directly on the bank's official website, remit the money, and make an appointment to pick it up at the counter. Many banks also offer exchange rate discounts or fee waivers. The best part is you can make an appointment at the airport branch and withdraw immediately after getting off the plane.

The downside is that you need to make a reservation in advance, and you cannot change the location after designating the branch.

Who is it suitable for: Travelers who want to withdraw cash directly at the airport with preferential rates.

4. Foreign Currency ATM = Most Flexible

24 hours, interbank withdrawals, no restrictions on bank users. Withdrawing from the TWD account can save on currency exchange fees, with only a 5 TWD fee for interbank transfers. The downside is that ATM locations are limited, denominations are fixed, and there may be shortages at times (especially during peak travel seasons).

Who is it suitable for: Those who don't have time to go to the bank and want to withdraw cash at the airport.

Cost Comparison Table of Four Methods

Two Things You Must Know Before Exchanging Currency

How much Japanese yen can 10,000 TWD be exchanged for?

At the current exchange rate (TWD/JPY 4.81), you can exchange approximately 47,810 yen. However, if you use the bank counter cash exchange rate (4.708), you can only exchange 46,800 yen—that's a difference of over 1000 yen.

What do I need to bring for over-the-counter currency exchange?

ID card + passport, that's it. For online appointments, you also need to bring the transaction notification. Foreigners bring passport + residence permit.

Is there a withdrawal limit for foreign currency ATMs?

Different banks have different policies. China Trust allows a maximum of 120,000 TWD per transaction, Taishin Bank 150,000, and E.Sun Bank 50,000. Remember to check your bank's regulations in advance.

Analysis of the Japanese Yen Trend in the Second Half of the Year

Is it worth exchanging now? To be honest, the current price level is acceptable.

Conservatives: First exchange 30% locked, wait for USD/JPY to break 155 or TWD/JPY to rise above 4.85 before adding 20%.

Radicals: Directly exchange 50%. If the Bank of Japan signals a rate hike in June, it could be increased to 70%.

Key catalysts are the June Bank of Japan interest rate decision and the July U.S. non-farm payroll data—these two events could determine the direction of exchange rates in the second half of the year. In the long run, the yen is undervalued, but the short-term volatility risk should not be ignored.

Those with urgent needs (travel, studying abroad) should exchange in batches according to the above ratio to lock in costs early. Pure investors can use high-interest assets like USD fixed deposits to hedge against risks. Keeping a close eye on policy trends over the next two months is crucial.

PS: In addition to direct currency exchange, you can also trade currency pairs like USD/JPY and EUR/JPY on foreign exchange platforms, allowing you to participate in market fluctuations with a small amount of capital. Trading can occur 24 hours a day in both long and short directions, making it much more flexible than stocks.