ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailPositive ArrowIcon PrintIcon Twitter
Property

BOJ begins to sweat as Japan's real estate heats up

Key ratio edges higher than long-term trend

Lending is growing for condos like these, seen on Tokyo's bayside area. (Photo by Kazuya Hiruta)

TOKYO -- Property lending by Japanese banks hit a record high last year, and that has sparked anxiety at the Bank of Japan. 

Outstanding real estate financing from domestic banks was 78.94 trillion yen ($712 billion) at the end of 2018, the highest on record and the fourth consecutive annual increase, according to data from the BOJ. That may have pushed one of the central bank's key indicators of financial overheating into warning territory. 

Sponsored Content

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

Discover the all new Nikkei Asia app

  • Take your reading anywhere with offline reading functions
  • Never miss a story with breaking news alerts
  • Customize your reading experience

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