Japan banks battle to secure deposits as savers chase market highs

Japan banks battle to secure deposits as savers chase market highs

TOKYO, May 28 : Japanese banks are, in a historic shift, competing to shore up their deposit base as lending opportunities grow and consumers, seeking to beat inflation, shift their savings into a booming stock market.While banks had been able to count on ample deposits for decades, growing prospects domestic

Japanese Banks Compete for Deposits in Historic Shift

Japanese banks are undergoing a historic shift, now actively competing for deposits after decades of ample reserves. This change is driven by growing domestic lending opportunities and a significant behavioural shift among consumers. With the Bank of Japan gradually raising rates and inflation eroding savings, households are increasingly moving cash into a booming stock market, spurred by the expanded tax-free NISA programme. This dynamic forces…