Japan's financial watchdog has begun discussions as part of a review of compulsory quarterly company disclosures, a controversial move the regulator argues will encourage firms to think long-term but that critics say will erode transparency.
The Financial Services Agency is expected to show as early as this spring the direction of its review, as a part of efforts to promote a "new capitalism" advocated by Prime Minister Fumio Kishida, following discussions at its Financial System Council.
The move comes as the agency tries to address so-called "short-termism" in which companies prioritize market-pleasing profit figures at the expense of investing in sustainable growth and delivering the wage hikes desired by the government.