Articles and Useful Information

Japanese Prime Minister Shinzo Abe calls for a two-step corporate tax reduction process

Japanese Prime Minister Shinzo Abe called for a two-step corporate tax reduction process comprising a year-early termination of a special corporate tax for reconstruction in fiscal 2014 and lowering the effective corporate tax rate to an equivalent level with other major nations in fiscal 2015 or later, Tokyo's The Nikkei reported. By lowering the effective corporate tax, Abe hopes to strengthen companies' financial condition, which could trigger more hiring and wage increases.

European Securities and Market Authority (ESMA) publishes views on Japanese Central Counterparties equivalence to European regulations

The European Securities and Market Authority (ESMA) has published its advice to the European Commission on the equivalence of a number of regulatory regimes for OTC derivatives clearing, central counterparties (CCPs), and trade repositories for European Markets Infrastructure Regulation (EMIR). The 3 September, 2013 advice includes views on the Japanese regulatory regime.

Foreign Banks in Japan Survey 2013

KPMG has released its annual survey of the published financial statements of foreign banks in Japan.

The condensed financial statements are prepared and published in accordance with the requirements of the Banking Law of Japan, and all financial information is extracted principally from publicly available information, with the exception of certain information voluntarily provided by the bank survey participants.

The survey is part of a comprehensive series of publications issued globally by KPMG’s Financial Services practices.

International Financial Law Review 2013: Guide to Japan

The IFLR 2013 Guide to Japan includes an article about the International Bankers Association of Japan (IBA Japan) and the newly-established Japan Financial Markets Council (JFMC). 

Paul Hunter, Secretary General of IBA Japan, discusses the aims and priorities of the Association, highlights some of the challenges facing foreign financial firms doing business in Japan, and identifies some of the issues the Association will be focusing on in the coming year.

BoJ New Policy Direction

On the 4th April the BoJ outlined said they have set a price stability target of 2% to be achieved within about two years and this will be achieved through quantitative and qualitative monetary easing measures. The BoJ will double over the next two years the monetary base and the amounts outstanding of Japanese government bonds (JGBs) as well as exchange-traded funds (EFTs) and they will also more than double the average remaining maturity of JGB purchases.