Japan banks keep capital above rules in BOJ stress test of AI crash and rate spike

Nikkei Asia ·
Japan banks keep capital above rules in BOJ stress test of AI crash and rate spike
  • The Bank of Japan's semiannual Financial System Report, released Oct. 23, finds Japanese banks would keep capital ratios above regulatory requirements in a combined global rate surge and AI-linked stock collapse scenario.
  • The BOJ report concludes Japan's financial system would maintain overall stability under the stress scenario.

Quotes

“Japanese banks would maintain capital ratios above regulatory requirements even in a scenario involving a surge in global interest rates and a collapse in artificial intelligence-linked stocks”— Bank of Japan

Sources