TOKYO -- S&P Global Ratings has cut its long-term issuer rating for Mitsubishi UFJ Financial Group by one notch to "A-," underscoring the greater risks Japanese banks face in expanding abroad.
MUFG has lead the sector in seeking overseas lending growth to compensate for sluggish financing demand at home. In doing so, it has become more exposed to economic risks in emerging markets, which run higher than those in Japan.
