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

Japan to offer subsidies to regional banks to encourage mergers

New Suga plan will cover up to $28.5m in realignment costs in each deal

Japan is planning to offer subsidies to regional banks to encourage them to merge or integrate their services in a bid to realign the overpopulated market.   © Reuters

TOKYO -- The Japanese government will offer subsidies to help the nation's overpopulated regional financial institutions merge or integrate management as early as summer next year, Nikkei has learned.

The government will extend subsidies to regional banks and credit unions, which will cover part of their transition costs such as those for integrating systems when they reorganize. Each institution can receive up to around 3 billion yen ($28.5 million), depending on its size.

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