Banking head says industry ‘positive’ on NCB bailout

Nippon Credit Bank’s recently announced restructuring plan seems sufficient to revitalize the bank and NCB’s calls for financial aid will be considered in a positive way, the new head of the nation’s banking industry said April 22.

Naotaka Saeki, in his first news conference as chairman of the Japan Federation of Bankers Associations, said remarks by both Finance Minister Hiroshi Mitsuzuka and Bank of Japan Gov. Yasuo Matsushita indicate that authorities are satisfied with NCB’s proposals. “To the extent to which the plan has been explained to us, it looks like it will be executed successfully, and so we are taking a positive stance” toward assisting NCB, Saeki said on behalf of Sanwa Bank, of which he is president.

Saeki said the two hurdles that the banking industry must overcome are restoring public trust in the financial system and reinvigorating Tokyo’s financial markets. Saeki formally took over the reins from Sakura Bank President Shunsaku Hashimoto the same day.