The ruling-party lawmakers are looking to make it easier for banks to expand into different industries, a step that could help traditional lenders push back against tech rivals.
The Liberal Democratic Party¡¯s financial policy research panel wants to amend the banking law next year to relax limits on lenders¡¯ lines of business as well as their investments in nonfinancial firms. The proposal, released last week, didn¡¯t specify which areas banks might be allowed to enter.
Japan¡¯s government has been trying to improve financial services by giving tech firms and other outsiders a bigger role in the industry. Now some politicians see a need to boost lenders, which have been suffering from years of rock-bottom interest rates and are busy supporting businesses and households hurt by the coronavirus-fueled recession.
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