One might say that a narrow interest margin is a result of the reimbursement of profits to customers and many stakeholders are still tolerant of the low profitability.
That view suggests that even if the profitability of financial institutions remains low, it may not pose a problem for the time being, and moreover that the low profitability of financial institutions may support Japan's economy through low borrowing costs. However, should the low profitability of Japan's overall financial institutions continue, it could raise concern in the following two respects.