# The Foreign Exchange and Foreign Trade Act and FX Derivatives

> The Foreign Exchange and Foreign Trade Act keeps Japan's cross-border transactions free in principle and limits control to necessary procedures such as permission and reporting. Contracts such as FX forwards can be capital transactions under the Act, depending on the counterparty's residency and the currency. Capital transactions in FX forwards and financial indicator futures contracts need no report, but payments that move funds across the border above a set amount do.

- URL: https://www.derivatives-compass.org/en/regulation-japan/fefta-and-fx-derivatives/
- Area: Regulation: Japan › Legal Framework
- Last reviewed: 2026-10-22
- 日本語版: https://www.derivatives-compass.org/ja/regulation-japan/fefta-and-fx-derivatives/index.md

## Key points

- The Act keeps cross-border transactions free in principle, and permission is needed only for transactions on which a duty has been imposed.
- Residents and non-residents are separated by whether the domicile or principal office is in Japan.
- Even between residents, contracts in a foreign currency, such as deposits, loans, and sales, are capital transactions.
- Capital transactions in FX forwards and financial indicator futures contracts need no report, but firms above a size threshold report derivatives transactions monthly.
- Banks act as foreign exchange transactions service providers and trade in line with the compliance standards.

When a firm enters into an [FX forward](https://www.derivatives-compass.org/en/glossary/fx-forward/) or a [cross-currency swap](https://www.derivatives-compass.org/en/glossary/currency-swap/) with an overseas counterparty, the terms of the contract and whether the counterparty is a [resident or non-resident](https://www.derivatives-compass.org/en/glossary/resident-and-non-resident/) decide whether the procedures of the Foreign Exchange and Foreign Trade Act apply. When settlement moves funds across the border, the Act's payment rules apply as well.

## Purpose and structure of the Act

The [Foreign Exchange and Foreign Trade Act](https://www.derivatives-compass.org/en/glossary/fefta/) (the "Act" below) is based on the freedom of foreign exchange, foreign trade, and other cross-border transactions, and applies only the minimum necessary control or adjustment to them. Its aims are the sound development of cross-border transactions, the maintenance of peace and security for Japan and the international community, and the balance of payments and currency stability[^fx-1].

The Act was enacted in 1949 as the "Foreign Exchange and Foreign Trade Control Act," which in principle prohibited cross-border transactions. The 1980 amendment moved to a system that is free in principle, and the 1998 amendment in principle abolished the systems of prior permission and notification. That amendment also removed the word "Control" from the title[^mof-hensen].

The chapters of the Act that bear on FX derivatives are the following.

| Chapter                                                                                 | Articles                  | Content                                                                                              |
| --------------------------------------------------------------------------------------- | ------------------------- | ---------------------------------------------------------------------------------------------------- |
| Chapter I General Provisions                                                            | Articles 1 to 9           | Purpose, definitions such as residents and non-residents, emergency suspension of transactions       |
| Chapter II Measures for the Maintenance of Peace and Security of Japan                  | Article 10                | Countermeasures based on a Cabinet decision                                                          |
| Chapter III Payments, etc.                                                              | Articles 16 to 19         | Permission duty for payments, etc.; banks' duty of confirmation and identity verification            |
| Chapter IV Capital Transactions, etc.                                                   | Articles 20 to 25-2       | Definition of capital transactions, permission duty, prior notification of outward direct investment |
| Chapter VI-2 Reports, etc.                                                              | Articles 55 to 55-9       | Reports on payments, etc. and capital transactions; reports on foreign exchange business             |
| Chapter VI-2-2 Compliance Standards for Foreign Exchange Transactions Service Providers | Articles 55-9-2 to 55-9-4 | Setting of compliance standards, guidance, recommendations, and orders                               |

Capital transactions are cross-border financial transactions that involve no transfer of goods or services. They include deposits, loans, sales and purchases of foreign means of payment and claims, financial indicator futures contracts, and acquisitions of securities[^fx-toc]. FX derivatives appear in the Act in two places: in capital transactions, and in the payments, etc. that settlement involves.

## Legal basis and authorities

The Act sets the framework and leaves the details to cabinet orders and ministerial ordinances. The laws and regulations that bear on FX derivatives are the following.

| Law or regulation                                                                                                      | Content that bears on FX derivatives                                                                                                                                 |
| ---------------------------------------------------------------------------------------------------------------------- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------- |
| Foreign Exchange and Foreign Trade Act (Act No. 228 of 1949)                                                           | Definition of capital transactions, permission duty, reports, framework of compliance standards                                                                      |
| Foreign Exchange Order (Cabinet Order No. 260 of 1980)                                                                 | Transactions excluded from financial indicator futures contracts, capital transactions that need no report, scope of foreign exchange transactions service providers |
| Ministerial Ordinance on Foreign Exchange (Ministry of Finance Ordinance No. 44 of 1980)                               | Procedure for applying for permission for capital transactions                                                                                                       |
| Ministerial Ordinance on Reports of Foreign Exchange Transactions, etc. (Ministry of Finance Ordinance No. 29 of 1998) | Reports on payments, etc., capital transactions that need no report, reports on derivatives transactions                                                             |

The Minister of Finance imposes the duty to obtain permission for capital transactions, and the Minister of Economy, Trade and Industry does so for specified capital transactions, such as loans directly tied to imports and exports of goods. The competent minister imposes the permission duty for payments and similar transfers[^fx-kengen]. The [Bank of Japan](https://www.derivatives-compass.org/en/glossary/boj/) handles tasks such as receiving applications, notifications, and reports. An application for permission for a capital transaction is submitted to the Minister of Finance through the Bank of Japan[^boj-g22].

This page reflects the version of the provisions published as of October 22, 2026 (last amended July 23, 2026).

## Residents and non-residents

The Act divides the parties to a transaction into residents and non-residents. Residents are individuals who have a domicile or residence in Japan and corporations that have their principal office in Japan. Non-residents are all other individuals and corporations. "Japan" means Honshu, Hokkaido, Shikoku, Kyushu, and the attached islands specified by ministerial ordinance[^fx-6].

A non-resident's branches, offices, and similar establishments in Japan are deemed residents, even if the principal office is abroad. Where the distinction is unclear, it follows what the Minister of Finance determines.

Japanese nationals are in principle residents, and foreign nationals are in principle non-residents. Residency of individuals and corporations is determined as follows[^boj-q2].

| Party                                                                                        | Treatment    |
| -------------------------------------------------------------------------------------------- | ------------ |
| A foreign national who works at an office in Japan                                           | Resident     |
| A foreign national who has been in Japan for six months or more since entry                  | Resident     |
| A foreign corporation's branch or office in Japan                                            | Resident     |
| A Japanese national who has left Japan to stay abroad for two years or more and stays abroad | Non-resident |
| A Japanese national who has left Japan to work at an office abroad and stays abroad          | Non-resident |
| A Japanese corporation's branch or office abroad                                             | Non-resident |

For FX derivatives, a counterparty that is the Tokyo branch of a foreign bank is a resident, and one that is an overseas branch of a Japanese bank is a non-resident. Even within the same banking group, whether a trade is with a resident or a non-resident depends on the office that signs the contract.

## How FX derivatives are treated

A financial indicator futures contract is a contract for a transaction that does not provide for delivery of the underlying and instead exchanges money based on the difference between an agreed figure and an actual figure. By the Act's definition, it is a contract for [OTC derivative](https://www.derivatives-compass.org/en/glossary/otc-derivative/) transactions, market derivative transactions, and similar transactions, minus what a cabinet order excludes. Among OTC derivative transactions, those that provide for delivery of financial instruments (except those settled only by paying the difference) and option transactions that trade a right to bring about a purchase or sale of financial instruments are excluded[^fx-6-14]. The Bank of Japan explains that market derivative transactions, OTC derivative transactions, and similar transactions on foreign markets are covered only when physical settlement is not provided for under the system[^boj-q3-8].

A financial indicator futures contract falls under two items of the definition of capital transactions. Item 8 covers the creation of a claim and similar events under a contract between a resident and a non-resident. Item 9 covers the creation of a claim and similar events that are payable in a foreign currency under a contract between residents, and those that are payable in yen and relate to a financial indicator in a foreign currency.

An FX forward falls under a different item as a contract for the sale and purchase of foreign means of payment or claims. Even between residents, a contract in a foreign currency, such as a deposit, a loan, or a sale and purchase, is a capital transaction because it creates a claim payable in a foreign currency. A contract between residents in which both the payments and the financial indicator are in yen only is not a capital transaction[^fx-20].

Tracing the provisions, an [NDF](https://www.derivatives-compass.org/en/glossary/ndf/) can be read as falling under the Financial Instruments and Exchange Act's definition of OTC derivative transactions, as a transaction that provides for payment of a difference, and as not covered by the cabinet order's exclusions[^fiea-22]. The following table assumes that an NDF is a financial indicator futures contract, and sets out each contract's relation to that definition by its terms.

| Contract terms                                                                                                                                   | Relation to financial indicator futures contracts                                                                                   |
| ------------------------------------------------------------------------------------------------------------------------------------------------ | ----------------------------------------------------------------------------------------------------------------------------------- |
| FX forward (the currencies are delivered)                                                                                                        | A capital transaction as a sale and purchase of foreign means of payment, etc.; excluded from financial indicator futures contracts |
| NDF (only the difference is paid in one currency; if taken to be a financial indicator futures contract)                                         | No delivery; a transaction that provides for payment of a difference, so it is taken to be a financial indicator futures contract   |
| [Currency option](https://www.derivatives-compass.org/en/glossary/currency-option/) (a right to bring about a sale and purchase of the currency) | A right to bring about a sale and purchase is excluded; a right to receive the difference directly is not excluded                  |
| Cross-currency swap (principal is exchanged)                                                                                                     | Transactions that provide for transfer of principal are excluded; those settled only by the difference are not excluded             |

A forward exchange contract is a capital transaction[^boj-q3-5]. How an NDF works is covered on the [Non-Deliverable Forwards (NDF)](https://www.derivatives-compass.org/en/fx/ndf/) page.

## Permission, prior notification, and after-the-fact reporting

The Minister of Finance's regulation of capital transactions takes three forms: a permission system, a prior notification system, and an after-the-fact reporting system[^boj-q4].

| Procedure                | Timing                                  | Relation to FX derivatives                                                                                                                                                                                                                                                                                                       |
| ------------------------ | --------------------------------------- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- |
| Permission               | Apply before the transaction            | Required only for transactions on which a duty has been imposed                                                                                                                                                                                                                                                                  |
| Prior notification       | Notify before the transaction           | For capital transactions, limited to some direct investment                                                                                                                                                                                                                                                                      |
| After-the-fact reporting | Report after the transaction or payment | Capital transactions in FX derivatives need no report; payments, etc. above a set amount do. Banks above a size threshold, [financial instruments business operators](https://www.derivatives-compass.org/en/glossary/financial-instruments-business-operator/), and similar firms report their derivatives transactions monthly |

### Permission

The Minister of Finance may impose a duty to obtain permission for a capital transaction in any of the following cases[^fx-21].

- When the performance of a treaty or other international commitment, or the contribution to international peace, is likely to be hindered
- When the Cabinet has decided on a countermeasure
- When maintaining the balance of payments becomes difficult
- When the yen exchange rate fluctuates sharply
- When a large movement of funds adversely affects domestic financial or capital markets

A transaction on which no duty has been imposed needs no permission. According to the Bank of Japan, the capital transactions subject to permission are set out in a public notice, and all of the measures are based on the performance of treaties and similar grounds[^boj-q5]. Permission for economic sanctions is handled under this system. (The permission system for dealings with sanctioned parties is covered on the [AML and Sanctions](https://www.derivatives-compass.org/en/regulation-themes/aml-and-sanctions/) page.)

### Prior notification

The capital transactions that require prior notification are outward direct investment in a specified industry. A resident notifies the Minister of Finance in advance. The investment cannot be carried out until 20 days have passed from the date the notification was accepted, and during that period the Minister of Finance may recommend changing or stopping it[^fx-23]. Some inward direct investment by foreign investors, as specified by cabinet order, also requires prior notification and cannot be carried out until 30 days have passed from acceptance[^fx-27]. Derivative contracts such as FX forwards and NDFs are not covered.

### After-the-fact reporting

The 1998 amendment in principle changed the regulation of capital transactions to an after-the-fact reporting system. Amendments to the reporting ordinance on May 1, 2011 and January 17, 2012 then made most after-the-fact reports unnecessary[^boj-q4]. The main reports that bear on FX derivatives are the following three.

- Reports on payments, etc. Payments from Japan to foreign countries, receipts from foreign countries, and similar flows are reported, except small ones of 30 million yen or less in equivalent value and a few others[^fx-55].
- Reports on capital transactions. When you become a party to a capital transaction that needs a report, you report it each time. The capital transactions that need no report are defined broadly[^fx-55-3].
- Reports on foreign exchange business. The Minister of Finance requires reports from persons whose foreign exchange business exceeds a certain size. Reports on the state of derivatives transactions fall under this system[^fx-55-7].

### Scope and deadlines of reports

Capital transactions in sales and purchases of foreign means of payment or claims, such as FX forwards, and in financial indicator futures contracts need no report, whether they are between a resident and a non-resident or between residents in a foreign currency[^fx-report-5].

When funds cross the border to settle a contract, the payment or receipt is treated separately as a payment, etc. Payments, etc. above 30 million yen in equivalent value are subject to reporting, except those that the reporting ordinance excludes. For payments, etc. that involve an exchange transaction, the resident submits the report to the bank that carried out the transaction[^fx-report-3].

**Figure 1: Submission route for payment reports via a bank**

The figure shows the order in which the report on payments, etc. involving an exchange transaction is submitted: from the reporter to the bank, etc., and from the bank, etc. through the Bank of Japan (BOJ) to the Minister of Finance (shown as Minister). The two arrows show the flow of the report, not of funds. The route for payments, etc. made without a bank is not in the figure; it is in the perspective box.

> **For compliance: Report deadlines**
>
> In the normal case, the deadline for a report on payments, etc. made through a bank is 10 days from the date of the payment, etc. When the procedure is carried out using an electronic data processing system, the report is submitted to the Bank of Japan within 20 days. The bank submits the report to the Minister of Finance through the Bank of Japan within 10 business days of receiving it.
>
> When payments, etc. in the same month are reported together, the report is submitted to the bank by the 10th of the following month. When an electronic data processing system is used, it is submitted to the Bank of Japan by the 20th of the following month. To report together, notify the Minister of Finance in writing by the day before the start of the period (except when an electronic data processing system is used).
>
> Payments, etc. made without a bank are submitted to the Minister of Finance through the Bank of Japan by the 20th of the month after the month of the payment, etc.[^fx-report-3-4].

Derivatives transactions themselves are covered by a separate report. The reporting firms are banks, financial instruments business operators, insurance companies, investment trust management companies, and asset management companies. Any of them whose transactions related to foreign exchange business exceed 10 billion yen in equivalent value in a month reports the state of its derivatives transactions for the following month. The deadline is the 15th of the month after that, and the report is submitted to the Minister of Finance through the Bank of Japan. The report form published by the Bank of Japan has columns for option transactions, futures and forward transactions, and swap transactions, and transactions with non-residents are entered in it[^fx-report-16].

### Emergency suspension

When the competent minister finds an urgent need because of a sudden change in international economic conditions, the minister may order the suspension of transactions or payments, etc.[^fx-9] When there is an urgent need to stabilize the currency, the Minister of Finance may order the suspension of capital transactions in currencies. The order may cover participants in the interbank foreign exchange market, members of financial instruments exchanges, financial instruments business operators, and others. The suspended transactions include market derivative transactions and OTC derivative transactions in currencies, and the suspension period does not exceed one month[^order-3].

## Judgment examples

An actual judgment depends on the terms of the transaction and the authorities' practice.

Consider a hypothetical example in which Bank V and Company W both have their principal offices in Japan and are residents, and Company W enters into an FX forward to buy USD 1 million in six months. The contract creates a claim payable in US dollars, so it is a capital transaction even between residents. A sale and purchase of foreign means of payment between residents is a capital transaction that needs no report, and unless a duty to obtain permission has been imposed on the transaction, neither permission nor a report is needed.

If the same two parties enter into an interest rate swap exchanging a yen floating rate for a fixed rate, the payments and the financial indicator are in yen only. The swap is outside the definition of capital transactions, so the permission and reporting rules for capital transactions do not apply.

Consider a hypothetical example in which Company W enters into an NDF on an emerging-market currency with Bank U (a non-resident), which has its principal office abroad, and receives the difference in US dollars from Bank U on the settlement date. If an NDF is taken to be a financial indicator futures contract, this contract is a capital transaction between a resident and a non-resident, and no report is needed as a capital transaction. In that case, if the difference received is 20 million yen in equivalent value, it is a small payment, etc. and needs no report. If it is 50 million yen in equivalent value, it exceeds 30 million yen and is subject to a report on payments, etc.

## Foreign exchange transactions service providers

Foreign exchange transactions service providers are the firms that a cabinet order specifies from three groups: financial institutions such as banks, fund transfer service providers, and money changers. They are persons for whom arrangements to confirm whether a transaction is subject to a permission duty are found to be especially necessary. They are banks and similar institutions, fund transfer service providers, electronic payment instruments service providers and similar firms, and money changers, and the banks and similar institutions include banks, long-term credit banks, shinkin banks, and credit cooperatives[^fx-55-9-2]. Financial instruments business operators are not on this list.

The competent minister sets, by ministerial ordinance, the compliance standards that these providers follow. The standards specify what is needed to confirm whether payments, etc. and capital transactions are subject to a permission duty, and providers trade in line with them. The competent minister gives guidance and advice, makes a recommendation if a provider still violates the standards, and may issue an order if the provider does not follow the recommendation[^fx-55-9-3]. Before carrying out an exchange transaction, a bank confirms that the customer's payment is not one that requires permission or, if it is, that permission has been obtained[^fx-17].

Entering into a capital transaction contract also involves [identity verification](https://www.derivatives-compass.org/en/glossary/kyc/) of the customer. Banks and similar institutions, trust companies, financial instruments business operators, and electronic payment instruments service providers and similar firms verify identity when they enter into a contract for a capital transaction with a customer or take a similar action. Such actions include concluding a contract for the sale and purchase of foreign means of payment or claims and concluding a financial indicator futures contract, and actions with a customer whose identity has already been verified are excluded[^fx-22-2].

## What this page does not cover

The permission system for dealings with sanctioned parties, the screening of inward direct investment, regulation of foreign trade, and penalties are not covered on this page. Capital transactions in crypto-assets and electronic payment instruments, foreign exchange regulation in other countries, and the content of the 2026 amendment are also not covered. Which item of the definition of capital transactions covers currency options and cross-currency swaps, which are excluded from financial indicator futures contracts, is not covered either.

[^fx-1]: [Foreign Exchange and Foreign Trade Act](https://laws.e-gov.go.jp/law/324AC0000000228) (in Japanese), Article 1 (Purpose).

[^mof-hensen]: [Ministry of Finance, "Purpose and history of the Foreign Exchange and Foreign Trade Act"](https://www.mof.go.jp/policy/international_policy/gaitame_kawase/gaitame/hensen.html), main text (explanation of the 1949 enactment and the 1980 and 1998 amendments) (外為法の目的と変遷, in Japanese).

[^fx-toc]: [Foreign Exchange and Foreign Trade Act](https://laws.e-gov.go.jp/law/324AC0000000228), table of contents, Articles 10, 16 to 19, 20, and 55 to 55-9-4. The definition of capital transactions is also explained in Q1 of the [Bank of Japan's "Q\&A on the Foreign Exchange and Foreign Trade Act (Capital Transactions)"](https://www.boj.or.jp/about/services/tame/faq/data/sh-qa.pdf) (外為法Q\&A（資本取引編）, in Japanese). The Act's term 金融指標等先物契約 is rendered here as "financial indicator futures contract" after the official translation's "futures contract on a financial indicator."

[^fx-kengen]: [Foreign Exchange and Foreign Trade Act](https://laws.e-gov.go.jp/law/324AC0000000228), Article 16, paragraph 1 (payments, etc.: competent minister), Article 21, paragraph 1 (capital transactions: Minister of Finance), Article 24, paragraph 1 (specified capital transactions: Minister of Economy, Trade and Industry).

[^boj-g22]: [Bank of Japan, "What is the Foreign Exchange and Foreign Trade Act?"](https://www.boj.or.jp/about/education/oshiete/intl/g22.htm) (外為法とは何ですか？, in Japanese), and the [Ministerial Ordinance on Foreign Exchange](https://laws.e-gov.go.jp/law/355M50000040044) (外国為替に関する省令, in Japanese), Article 12, paragraph 1 (an application for permission is submitted to the Minister of Finance through the Bank of Japan).

[^fx-6]: [Foreign Exchange and Foreign Trade Act](https://laws.e-gov.go.jp/law/324AC0000000228), Article 6, paragraph 1, items 1, 5, and 6, and paragraph 2.

[^boj-q2]: [Bank of Japan, Q\&A on the Foreign Exchange and Foreign Trade Act (Capital Transactions)](https://www.boj.or.jp/about/services/tame/faq/data/sh-qa.pdf) (revised April 2026 \[Reiwa 8]), Q2, table of residency criteria.

[^boj-q4]: [Bank of Japan, Q\&A on the Foreign Exchange and Foreign Trade Act (Capital Transactions)](https://www.boj.or.jp/about/services/tame/faq/data/sh-qa.pdf) (revised April 2026 \[Reiwa 8]), Q4, regulation of capital transactions under the Act.

[^fx-21]: [Foreign Exchange and Foreign Trade Act](https://laws.e-gov.go.jp/law/324AC0000000228), Article 21, paragraphs 1 and 2, and Article 10, paragraph 1.

[^boj-q5]: [Bank of Japan, Q\&A on the Foreign Exchange and Foreign Trade Act (Capital Transactions)](https://www.boj.or.jp/about/services/tame/faq/data/sh-qa.pdf), Q5 (1). The notice is given as Ministry of Finance Notice No. 99 of 1998.

[^fx-23]: [Foreign Exchange and Foreign Trade Act](https://laws.e-gov.go.jp/law/324AC0000000228), Article 23, paragraphs 1, 3, and 4. That there are five specified industries is stated in Q4 of the [Bank of Japan's Q\&A](https://www.boj.or.jp/about/services/tame/faq/data/sh-qa.pdf).

[^fx-27]: [Foreign Exchange and Foreign Trade Act](https://laws.e-gov.go.jp/law/324AC0000000228), Article 27, paragraphs 1 and 2.

[^fx-55]: [Foreign Exchange and Foreign Trade Act](https://laws.e-gov.go.jp/law/324AC0000000228), Article 55, paragraph 1, and the [Ministerial Ordinance on Reports of Foreign Exchange Transactions, etc.](https://laws.e-gov.go.jp/law/410M50000040029) (外国為替の取引等の報告に関する省令, in Japanese), Article 1, paragraph 1 (an amount equivalent to 30 million yen or less) and paragraph 2.

[^fx-55-3]: [Foreign Exchange and Foreign Trade Act](https://laws.e-gov.go.jp/law/324AC0000000228), Article 55-3, paragraph 1, [Foreign Exchange Order](https://laws.e-gov.go.jp/law/355CO0000000260) (in Japanese), Article 18-5, paragraph 1, and the [Ministerial Ordinance on Reports of Foreign Exchange Transactions, etc.](https://laws.e-gov.go.jp/law/410M50000040029), Article 5.

[^fx-55-7]: [Foreign Exchange and Foreign Trade Act](https://laws.e-gov.go.jp/law/324AC0000000228), Article 55-7, [Foreign Exchange Order](https://laws.e-gov.go.jp/law/355CO0000000260), Article 18-7, paragraph 2, and the [Ministerial Ordinance on Reports of Foreign Exchange Transactions, etc.](https://laws.e-gov.go.jp/law/410M50000040029), Article 16, paragraph 1 (citing Article 18-7, paragraph 2, item 2 (c), (f), and (g) of the Order).

[^fx-20]: [Foreign Exchange and Foreign Trade Act](https://laws.e-gov.go.jp/law/324AC0000000228), Article 20, item 3 (sale and purchase between a resident and a non-resident), item 4 (foreign-currency contracts between residents), item 8 (financial indicator futures contract between a resident and a non-resident), item 9 (financial indicator futures contract between residents).

[^fx-6-14]: [Foreign Exchange and Foreign Trade Act](https://laws.e-gov.go.jp/law/324AC0000000228), Article 6, paragraph 1, item 14, and [Foreign Exchange Order](https://laws.e-gov.go.jp/law/355CO0000000260), Article 2, paragraph 4.

[^boj-q3-8]: [Bank of Japan, Q\&A on the Foreign Exchange and Foreign Trade Act (Capital Transactions)](https://www.boj.or.jp/about/services/tame/faq/data/sh-qa.pdf), Q3 (8).

[^boj-q3-5]: [Bank of Japan, Q\&A on the Foreign Exchange and Foreign Trade Act (Capital Transactions)](https://www.boj.or.jp/about/services/tame/faq/data/sh-qa.pdf), Q3 (5).

[^fiea-22]: [Financial Instruments and Exchange Act](https://laws.e-gov.go.jp/law/323AC0000000025) (in Japanese), Article 2, paragraph 22, items 2 to 5, and [Foreign Exchange Order](https://laws.e-gov.go.jp/law/355CO0000000260), Article 2, paragraph 4.

[^fx-report-5]: [Ministerial Ordinance on Reports of Foreign Exchange Transactions, etc.](https://laws.e-gov.go.jp/law/410M50000040029), Article 5, paragraph 2, items 1 and 1-2, and the table in Q6 (reporting system for capital transactions) of the [Bank of Japan's Q\&A](https://www.boj.or.jp/about/services/tame/faq/data/sh-qa.pdf).

[^fx-report-3]: [Ministerial Ordinance on Reports of Foreign Exchange Transactions, etc.](https://laws.e-gov.go.jp/law/410M50000040029), Article 1, paragraph 1, and Article 3, paragraph 1. Article 1, paragraph 2 lists the payments, etc. that need no report regardless of amount.

[^fx-report-16]: [Ministerial Ordinance on Reports of Foreign Exchange Transactions, etc.](https://laws.e-gov.go.jp/law/410M50000040029), Article 16, paragraph 1, and the [Bank of Japan's Appended Form 27](https://www.boj.or.jp/z/tame/t-redown2014/nregt27.pdf) (別紙様式第二十七, in Japanese), instruction 4 for completing the form.

[^fx-9]: [Foreign Exchange and Foreign Trade Act](https://laws.e-gov.go.jp/law/324AC0000000228), Article 9, paragraph 1.

[^order-3]: [Foreign Exchange Order](https://laws.e-gov.go.jp/law/355CO0000000260), Article 3, paragraphs 2 and 4.

[^fx-55-9-2]: [Foreign Exchange and Foreign Trade Act](https://laws.e-gov.go.jp/law/324AC0000000228), Article 55-9-2, paragraph 1, and [Foreign Exchange Order](https://laws.e-gov.go.jp/law/355CO0000000260), Article 6-2, paragraph 1, and Article 18-10, paragraph 1. The Act's term 外国為替取引等取扱業者 is rendered here as "foreign exchange transactions service providers," after the official translation of the Order.

[^fx-55-9-3]: [Foreign Exchange and Foreign Trade Act](https://laws.e-gov.go.jp/law/324AC0000000228), Article 55-9-2, paragraphs 2 and 3, Article 55-9-3, and Article 55-9-4, paragraphs 1 and 2.

[^fx-17]: [Foreign Exchange and Foreign Trade Act](https://laws.e-gov.go.jp/law/324AC0000000228), Article 17 (banks' duty of confirmation).

[^fx-22-2]: [Foreign Exchange and Foreign Trade Act](https://laws.e-gov.go.jp/law/324AC0000000228), Article 22-2, paragraph 1, and [Foreign Exchange Order](https://laws.e-gov.go.jp/law/355CO0000000260), Article 11-5, paragraph 1, items 5 and 7.

[^fx-report-3-4]: [Ministerial Ordinance on Reports of Foreign Exchange Transactions, etc.](https://laws.e-gov.go.jp/law/410M50000040029), Article 3, paragraphs 1 to 4. The deadline for payments, etc. made without a bank is in Article 2, paragraph 1.

## Sources

- [外国為替及び外国貿易法](https://laws.e-gov.go.jp/law/324AC0000000228) — e-Gov 法令検索（デジタル庁）
- [外為法の目的と変遷](https://www.mof.go.jp/policy/international_policy/gaitame_kawase/gaitame/hensen.html) — 財務省
- [外為法とは何ですか？](https://www.boj.or.jp/about/education/oshiete/intl/g22.htm) — 日本銀行
- [外国為替令](https://laws.e-gov.go.jp/law/355CO0000000260) — e-Gov 法令検索（デジタル庁）
- [外国為替に関する省令](https://laws.e-gov.go.jp/law/355M50000040044) — e-Gov 法令検索（デジタル庁）
- [外国為替の取引等の報告に関する省令](https://laws.e-gov.go.jp/law/410M50000040029) — e-Gov 法令検索（デジタル庁）
- [外為法Ｑ＆Ａ（資本取引編）（令和 8 年 4 月改訂）](https://www.boj.or.jp/about/services/tame/faq/data/sh-qa.pdf) — 日本銀行
- [金融商品取引法](https://laws.e-gov.go.jp/law/323AC0000000025) — e-Gov 法令検索（デジタル庁）
- [別紙様式第二十七 デリバティブ取引に関する報告書](https://www.boj.or.jp/z/tame/t-redown2014/nregt27.pdf) — 日本銀行