2 Okinawa Banks Agree on Comprehensive Biz Tie-up

Economy

Naha, Okinawa Pref., Jan. 29 (Jiji Press)--Two local banks in the southernmost Japan prefecture of Okinawa said Friday that they have agreed on a comprehensive business tie-up.

Bank of the Ryukyus <8399> and Bank of Okinawa <8397> aim to reduce costs through joint back-office operations, including cash transportation and automated teller machines.

The banks hope to cut costs by about 2 billion yen in total over three years, planning to use the saved money for measures to improve customer convenience.

The partnership deal came at a time when regional banks are struggling amid a host of challenges, such as prolonged ultralow interest rates and the coronavirus epidemic.

Meanwhile, the banks, which both have their head offices in Naha, the capital of Okinawa, will maintain their management independence, and their respective brands and customer bases.

[Copyright The Jiji Press, Ltd.]

Jiji Press