The yen is Japan’s official currency, established under the New Currency Act of 1871.
The Japanese government introduced the yen during the Meiji period as part of a broader modernization program. The word yen means “round object,” reflecting the shape of the new coins and its relationship to older East Asian monetary terms. The currency’s symbol is ¥, and its international currency code is JPY.
The yen is divided into 100 sen in the historical system, although sen coins are no longer used in everyday transactions. Japan’s central bank, the Bank of Japan, issues banknotes, while the national government issues coins. The yen is sometimes confused in English-language discussions with China’s yuan because the two names share historical linguistic roots, but they are separate currencies issued by different countries.