How much Japanese Yen can 1 TWD buy? The latest exchange rate for 2025 and an analysis of the four major currency exchange channels

The current exchange rate is approximately 4.85 TWD to JPY, meaning 1 TWD can be exchanged for about 4.85 JPY. This exchange rate is crucial for investors planning to travel to Japan, purchase on behalf of others, or allocate assets. Since the beginning of the year, the Japanese yen has appreciated about 8.7% against the TWD. Under the environment of TWD depreciation pressure, converting to JPY has become a popular option for many.

Why is now the time to exchange for JPY?

The appeal of the JPY extends beyond travel needs. From a market perspective, the yen is one of the three major safe-haven currencies globally (the other two are USD and Swiss Franc). With Japan’s stable economic foundation and low debt levels, it is often favored during global market turbulence. During the Russia-Ukraine conflict in 2022, the yen appreciated 8% in a single week, enough to offset stock market declines during the same period. For Taiwanese investors, holding JPY is not only for travel but also for hedging against Taiwan stock market volatility.

Additionally, Japan has maintained an ultra-low interest rate policy (around 0.5%), making the yen a funding currency. Arbitrage traders often borrow low-interest JPY to convert into higher-yield USD (interest rate differential about 4.0%), then close positions when risks rise, and buy back yen. This dynamic has also boosted the market interest in JPY.

Four major JPY exchange channels in Taiwan: practical comparison

Many people mistakenly think exchanging JPY only involves going to a bank, but the difference in rates among various channels can save you enough to buy a few more drinks. Below is an in-depth analysis of four exchange methods:

First: In-person cash exchange

Carry TWD cash to a bank branch or airport counter to exchange for JPY cash on the spot. This is the most traditional and straightforward method—simple operation, safe, and reliable. Counter staff will assist in confirming denominations and quantities.

However, this method uses the “cash selling rate,” which is usually 1-2% worse than the spot rate, resulting in higher overall costs. For example, Taiwan Bank’s cash selling rate in December 2025 is about 0.2060 TWD/JPY (implying 1 TWD = 4.85 JPY). Some banks also charge fixed handling fees, increasing costs further.

Cost estimate: Exchanging 50,000 TWD may incur a loss of about 1,500-2,000 TWD.

Suitable for: Travelers unfamiliar with online operations or needing small amounts for urgent use at the airport.

Comparison of major banks’ cash selling rates (1 JPY / TWD) and handling fees:

Second: Online account transfer + ATM cash withdrawal

Log into online banking or mobile app, convert TWD to foreign currency account at the “spot sell rate” (about 1% better than cash rate). When cash is needed, withdraw from bank foreign currency ATMs, with additional withdrawal fees (usually starting at 100 TWD).

This method is suitable for long-term monitoring of exchange rates. When the TWD/JPY rate drops below 4.80, you can gradually buy in batches to average your cost. Online 24-hour access offers high flexibility.

Cost estimate: Exchanging 50,000 TWD may result in a loss of about 500-1,000 TWD.

Suitable for: Investors experienced with foreign exchange, regularly using foreign currency accounts, and potentially investing in JPY fixed deposits (current annual interest rate about 1.5-1.8%).

Third: Online currency exchange reservation for airport pickup

No need to open a foreign currency account in advance. Fill in currency, amount, designated pickup branch, and date on the bank’s website. After transferring funds, bring ID and transaction notification to the counter for pickup. Taiwan Bank’s “Easy Purchase” and Mega Bank offer this service, allowing direct reservation for pickup at Taoyuan Airport branches.

Taiwan Bank’s online currency exchange is fee-free (if paid via Taiwan Pay, only 10 TWD). The exchange rate advantage is about 0.5%. This is the most efficient pre-departure reservation method, especially since Taoyuan Airport has 14 Taiwan Bank branches, including 2 open 24 hours.

Cost estimate: Exchanging 50,000 TWD may incur a loss of about 300-800 TWD.

Suitable for: Travelers with a planned schedule who want to pick up cash directly at the airport before departure.

Fourth: Foreign currency ATM self-service withdrawal

Use a chip-enabled financial card to withdraw JPY cash at foreign currency ATMs anytime, 24/7. Interbank withdrawals cost only about 5 TWD in handling fees (deducted directly from TWD account), with no additional currency exchange fee. About 200 foreign currency ATMs are available nationwide.

For example, at SinoPac Bank’s foreign currency ATM, withdrawing JPY from a TWD account has a daily limit of 150,000 TWD, with no currency exchange fee. However, machine locations, available denominations, and note sizes are limited (usually 1,000/5,000/10,000 JPY). During peak times (e.g., before long holidays), cash may run out, so it’s not recommended for last-minute needs.

Cost estimate: Exchanging 50,000 TWD may result in a loss of about 800-1,200 TWD.

Suitable for: People with tight schedules or unable to visit banks during business hours.

Comparison table of the four channels’ costs and suitable scenarios

Is now a good time to exchange for JPY? Market analysis

The current rate of about 4.85 TWD per JPY is relatively high. Compared to 4.46 at the start of the year, the yen has appreciated about 8.7%, providing significant gains for those exchanging now. Taiwan’s FX demand has increased by about 25% in the second half of the year, driven by travel recovery and asset hedging.

However, short-term fluctuations remain. The US has entered a rate-cut cycle, supporting the yen, but the Japanese central bank governor Ueda Kazuo recently made hawkish comments, raising expectations of rate hikes to 0.75% at the December 19 meeting (a 30-year high), with Japanese government bond yields reaching a 17-year high of 1.93%. USD/JPY has fallen from a high of 160 at the start of the year to around 154.58, with a short-term dip to 155 possible, but the medium to long-term trend is expected to converge below 150.

Exchange advice: Yes, but operate in batches. Avoid exchanging all at once; instead, buy in weekly or monthly installments to diversify risk. JPY as a safe-haven asset is suitable for hedging Taiwan stocks, but watch out for 2-5% volatility from short-term arbitrage unwinding.

After exchanging for JPY: extended investment options

Once you have JPY, don’t leave it idle. You can shift to steady income or growth-oriented allocations. Here are some common options for beginners:

JPY fixed deposit: Open a foreign currency account with E.SUN or Taiwan Bank, with a minimum deposit of 10,000 JPY, offering an annual interest rate of 1.5-1.8%. Suitable for conservative investors.

JPY insurance policies: Cathay or Fubon life savings insurance, with guaranteed interest rates of 2-3%, providing relatively stable medium-term returns.

JPY ETFs: Such as Yuanta 00675U, tracking the JPY index, purchasable in fractional shares via brokerage apps, suitable for dollar-cost averaging.

Forex trading: Trade USD/JPY or EUR/JPY on FX platforms, available 24/7, with long/short options and small capital requirements. Suitable for swing or intraday strategies. These platforms often offer zero commissions, low spreads, and tools like stop-loss and take-profit.

Common questions

Q: What’s the difference between cash exchange rate and spot rate?

Cash rate is the buy/sell rate banks offer for physical banknotes, settled immediately; spot rate is the FX market rate for T+2 settlement used for electronic transfers or non-cash delivery. Cash rates are usually 1-2% worse than spot rates.

Q: How many JPY can I get for 1 TWD?

It depends on the current rate. Using Taiwan Bank’s cash selling rate of about 0.2060 TWD/JPY, 10,000 TWD can buy approximately 48,500 JPY; using the spot rate (about 0.2053), it’s roughly 48,700 JPY, about 200 JPY difference.

Q: What do I need to bring for in-person currency exchange?

Taiwanese citizens: ID card + passport; foreigners: passport + residence permit. Under 20 need parental consent and ID. For online reservations, bring transaction notification. Large exchanges over 100,000 TWD may require source of funds declaration.

Q: What is the limit for foreign currency ATM withdrawals?

Limits vary by bank and are updated as of October 2025:

It’s recommended to split withdrawals or prioritize using your own bank card to avoid cross-bank fees (5 TWD per transaction). During peak times, airport cash may run out, so plan ahead.

Summary

The JPY is no longer just a travel “pocket money” but also an asset with hedging and investment value. At the current rate of about 4.85 TWD per JPY, whether for travel or asset allocation, following the principles of “batch exchange and reinvestment” can effectively control costs and maximize gains.

Beginners can start with “Taiwan Bank online exchange + airport pickup” or “foreign currency ATM self-withdrawal,” gradually allocating JPY into fixed deposits, ETFs, or swing trading. This approach reduces travel costs and adds an extra layer of asset protection during global market turbulence.