Barclays is expecting another year of record profit in Japan on the back of the country’s debt and rates market trading resurgence, marking a bright spot for the U.K. lender as it struggles elsewhere.
The bank’s Japan entities are getting more yen rates-related orders from home and abroad, with many overseas institutional clients betting that local interest rates will rise, according to Kosuke Morihara, chief executive officer for the country. It may add to headcount if trading income keeps growing, he said.
Profit after tax "could reach an all-time high if there is no material change in the market situation,” Morihara said in an interview. "Japan has finally come to the center of the radar of global investors for the first time in a while.”