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Chart of the Day: Japan banks' profitability still lag behind G7 peers
Chart of the Day: Japan banks' profitability still lag behind G7 peers
The sector’s return on assets hit 0.4% in H1 2018, below 1.2% in the US and over 0.8% in Australia. This chart from Moody’s Investors Service shows that although the average return on assets (ROA) of rated Japanese banks rose to around 0.4% in the first six months of 2018, the sector’s profitability remained far below that of banks in most other G7 countries such as the United States, Australia, Canada and the UK. Also read: Japanese banks hit by lower net interest income as loan demand dwindles
Weekly Global News Wrap Up: German banks need $5.9b additional capital buffer; Citigroup ditched Apple Card partnership talks: report
And UniCredit eyes to sell $5.6b worth of bad loans.
Indian banks maintain strong earnings momentum in Q4
Year-end interest income rose 15.6% amidst sustained credit recovery.
Korea rejects two web-only bank applicants
It cited lack of innovation and concerns over governance and financing.
Singapore banks brace for higher risk weighted assets
RWAs could increase by 25% by 2022 and 80% by 2027.
Crowdfunding flourishes in Malaysia as banks reject loan applications
Equity crowdfunding and P2P platforms have raised $84m for small businesses so far.
Singapore banks' fixed deposit rates to maintain sustained easing
FD rates have already started tapering off in April.
India makes headway with public bank mergers
India is reportedly aiming to merge Punjab National Bank with up to three other banks.
Singapore sets up banking conduct committee
It will serve as a platform for banks to self-asses and update industry codes of conduct.
Chart of the Week: Global ATM numbers drop for first time as China, India and Japan shun cash
The growing popularity of mobile payments is partially to blame.
Japanese megabanks' annual profits fall as ultra-low rates take toll
Mizuho's profits plunged 83% to $877m.
Which Singapore bank pays its staff the most?
This lender enjoys higher income from its institutional banking and treasury markets units.
Singapore banks stand strong against bad loan wave in Q1
The formation of new bad loans in Q1 was the lowest in five years.
Singapore bank NIMs up 3bps in Q1
UOB was the only weak link as margins shrunk 5bps.
Japanese megabanks still reeling from lower net income
Sumitomo Mitsui projects a net income decrease of 4% to $6.39b in 2019. Bloomberg reported that Japanese megabanks are bracing for another tough year ahead of weakening net income amidst the weakening economy, rising trade tensions, and the sustained monetary easing from the central bank. Also read: Japanese bank woes to persist as ultra-low rates to last until 2020 Whilst both Mizuho and MUFG are expecting profit to increase this year, to $4.3b (JPY470b) and $8.22 (JPY900b),respectively, that’s only after they booked large writedowns that hurt results in the previous period. Meanwhile, Sumitomo Mitsui sees net income slipping about 4% to $6.39b (JPY700b). Net income projections from Sumitomo Mitsui Financial Group (SMFG), Mitsubishi UFJ Financial Group, and Mizuho Financial Group have all missed analysts estimates amidst rising bad loan costs and lesser gains from sales of stock holdings, which used to be its saving grace amidst rock-bottom interest rates. Also read: Japanese banks hit by lower net interest income as loan demand dwindles
Chart of the Week: What annoys APAC bank users the most?
Frozen credit cards no longer spark as much annoyance.
Weekly Global News Wrap Up: HSBC, Citi, JPMorgan amongst those facing EU fines over forex rigging: report; UniCredit gears up for Commerzbank's bid
And Austrian Post is venturing into branch banking.
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