Japan FSA to Ease Rules to Create Int’l Financial Hub

Economy Politics

Tokyo, Dec. 22 (Jiji Press)--Japan’s Financial Services Agency plans to ease its regulations, including on the entry of overseas investment funds into the Japanese market, in an effort to realize the government’s goal of creating an attractive international financial center in the country.

The deregulation plan was included in a set of measures aimed at attracting more foreign financiers that was compiled at a Financial System Council working group meeting on Monday. The council advises the prime minister.

The FSA also plans to abolish a rule banning Japanese banks and securities houses from sharing information on their foreign corporate clients without their consent in order to maintain the competitiveness of overseas financial institutions acquired by Japanese banks and others.

The FSA will submit a bill to revise the Financial Instruments and Exchange Act to next year’s ordinary session of parliament, to be convened in January.

On whether to relax regulations related to the sharing of information on domestic customers, the working group will continue discussions in view of strong concerns over a possible increase in banks’ controlling power over borrower companies.

[Copyright The Jiji Press, Ltd.]

Jiji Press