Japan's regional banks load up on risk as they fight to survive
Troubled regional banks are plunging into riskier corners of the credit markets, in a battle to survive ultralow interest rates and an industry shakeout. As debt yields tumble globally, the lenders are also facing weak business at home, where a shrinking population is hitting outlying ...
The worsening performance of regional banks bodes ill for the companies and other borrowers that sustain regional economies.
Regional banks' profit woes could damage financial system, Japan's central banker warns
Bank of Japan Gov. Haruhiko Kuroda warned Monday that declining profits at regional banks could hurt the economy by potentially destabilizing the financial system. Regional banks' core profitability has continued to fall due to prolonged low interest rates, the shrinking population and a falling number ...
'Don't blame BOJ,' FSA chief Toshihide Endo tells struggling regional banks
The nation's top financial regulator said regional banks "should not blame the Bank of Japan" for their woes, urging them to explore ways to survive ultralow interest rates. "They should not just sit and wait for the BOJ to change its policy. Will everything be ...
BOJ's higher JGB yield said too low for regional lenders to switch strategies
The yields on Japan's benchmark bond are still too low to lead to any change in investment strategies for regional lenders, even after the central bank permitted a higher trading range, according to managers and traders at the companies. Regional lenders want to see 0.5 ...
Banking veteran slams Japanese banks' fixation on archaic trading methods
Regional banks need to stop their fixation with the old-fashioned buy-and-hold strategy and be more nimble to make the most of their investments, a three-decade industry veteran says. The current low interest-rate environment calls for lenders to adopt a trading mentality and look to lock-in ...
Japan's financial regulators mull inspections of regional banks' money laundering measures
Japan's financial regulators are considering on-site inspections of regional banks that do not have sufficient steps in place against money laundering, sources with knowledge of the plan said Wednesday. If financial institutions fail to beef up anti-money laundering efforts, the Financial Services Agency may take ...
Regional banks pursuing mergers to ensure their survival should also scrutinize their operations to find areas where they can improve their performances.
Ashikaga, Joyo to merge next October and become Japan's third-largest regional
Ashikaga Holdings Co. in Tochigi Prefecture and Joyo Bank in Ibaraki Prefecture have reached a broad agreement to merge next Oct. 1. Their combined assets of some ¥15 trillion will the new group Japan's third-largest regional bank. Joyo will become a subsidiary of Ashikaga Holdings, ...
Regional lender Ashikaga reportedly considering merger with Joyo Bank
Ashikaga Holdings Co. is considering merging with Joyo Bank Ltd., the latest regional lenders to weigh such a move as the slowing economy and shrinking population saps loan demand. Nothing has been decided on any tie-up, the companies said in separate statements following a report ...
Japan Post's IPO might just shake up lagging regional lenders
The nation's regional banks need a little shaking up: There are far too many of them, profits from loans are shrinking, and their customers are disappearing. The enormous privatization of Japan Post, coming up next month, may just help spur them into action. State-owned Japan ...
Regional lenders want to work with Japan Post Bank, on one condition
As Japan Post Bank Co. prepares for an initial public offering and poses increased competition to regional banks, they are willing to do business with the state-owned company — on one condition. A ruling party proposal to raise the ¥10 million cap on how much ...
