bank analysis

The bank has the strongest capitalization amongst regional banks in Japan.

Positive effects will only be felt starting fiscal year 2025 and onwards.

Traction from its wealth management business will support profits.

Wealth management and loan fees hit record highs.

Profits are expected to strengthen throughout the year as the economy recovers.

The impact on mortgage loans will not be felt until January 2023.

The banks’ credit costs are sighted to remain elevated.

Massive adoption of tech without critical tech advice from experts could spell doom for lenders.

Choy Khai Choon also serves as independent non-exec chairman at Zurich Life.

The bank now has nearly 5 million customers in total, and almost 1 million lending customers.

Banks’ credit costs are expected to undershoot their guidance.

Digital lenders are currently at a loss-making and some may fold over the next few years.

BOC’s non-performing asset ratio is expected to steadily decline in the next 24 months.

Two mergers were announced in August alone, and as regulatory costs remain high, more might seek to consolidate.

Whilst fee income and loan growth is robust, capital position weakened.

Net interest income and non-interest income both fell compared to H1 2020.