Japan Regional Banks in Extremely Tough Biz Situation

Economy

Tokyo, May 20 (Jiji Press)--Regional banks in Japan are facing extremely tough times amid the spread of the new coronavirus, Ritsuo Sasajima, chairman of the Regional Banks Association of Japan, said Wednesday.

According to the association, among 62 of its 64 member banks, four posted red ink and 39 suffered profit falls for the year ended in March 2020.

The combined net profits at the 62 banks dropped 3.5 pct to 588.5 billion yen.

Sasajima, president of Joyo Bank, blamed the dismal performance mainly to losses linked to the stock market turmoil caused by the coronavirus crisis.

"With considerably high levels of capital maintained, I don't expect the management of regional banks will be greatly affected immediately," he said.

[Copyright The Jiji Press, Ltd.]

Jiji Press