The Bank of Tokyo-Mitsubishi, currently the biggest bank in Japan, will strive to survive intensifying competition in the banking industry by utilizing its mostly upscale retail customer base and solid international networks, the future president of the bank said.

BTM Deputy President Shigemitsu Miki, who is to assume the bank's presidency later this month, said in an interview Thursday that although domestic banks -- which have settled into four major camps through megamerger announcements -- rank high in the world in terms of size, they still face major challenges.

"(Japanese) banks lag behind overseas competitors in profitability and the quality of services offered to customers," he said. "We need to focus on these areas from now on."