ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailPositive ArrowIcon Print

Japan megabanks brace as a resurgent COVID haunts economy

Lenders see opportunities in industrial reorganization and climate change

The average loan rate at Japan's major banks fell from 0.6% in March to 0.3% in May, and stood at 0.4 to 0.5% in July-August.

TOKYO -- Major Japanese banks are bracing for a tough time ahead after dealing with the coronavirus pandemic relatively well in the April-September half.

But they find themselves fighting through headwinds. The economic recovery from a deep slump in April and May has been slower than bankers had hoped. And this problem has been compounded by a fresh wave of coronavirus infections. Meanwhile, interest margins have been further eroded by the government's offer of interest-free loans.

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

Nikkei Asian Review, now known as Nikkei Asia, will be the voice of the Asian Century.

Celebrate our next chapter
Free access for everyone - Sep. 30

Find out more