Moreover, over the period of more than a year since the consumption tax hike, even durable consumer goods and housing investment have started to level off. Meanwhile, as seen in the steady improvement in the employment and income situation, a virtuous cycle from income to spending has been operating in the region in the same way as in Japan as a whole.
If they become too dominant, competition may eventually suffer and any systemic importance for financial activities will need to be managed carefully by regulators. What does this innovative and competitive environment imply for the banks?