Weekly
Welcome to the one hundred forty-fourth edition of the Japan FinTech Observer. The last full work week of the year brought a couple of significant deals (Amova, SMBC), a few new industry associations (the Business Invoice Payment Services Association, or BIPSA, the Japan Digital Decentralized Finance Association, or JDFA, and
private credit
Sumitomo Mitsui Financial Group (SMBC Group) has unveiled an aggressive strategy to establish private asset management as a primary business pillar, targeting JPY 15 trillion in cross-asset management balances by 2031. In an announcement made on December 24, 2025, the Japanese banking giant outlined a comprehensive plan to leverage its
artificial intelligence
au Jibun Bank has moved to bolster its internet banking security infrastructure, announcing the deployment of "AI Zero Fraud," a proprietary detection system developed by cybersecurity firm LAC. The integration, which went live during December 2025, represents a strategic shift toward artificial intelligence to mitigate the rising risk
mergers & acquisitions
Sumitomo Mitsui Banking Corporation (SMBC) has further solidified its foothold in the Southeast Asian market, announcing on Monday the acquisition of an additional 4.46% equity stake in the Philippines' Rizal Commercial Banking Corporation (RCBC). The transaction, valued at PHP 6.4 billion (approx. JPY 17 billion), raises SMBC’
Weekly
Welcome to the one hundred forty-third edition of the Japan FinTech Observer. We have done it! Not only is the Bank of Japan the only major central bank to raise its policy rate this year, it has done so twice. Well done, Ueda-san & team, leading us further down the
artificial intelligence
MUFG Bank has formally adopted a data de-identification solution provided by Toronto-based Private AI to enhance its proprietary big data infrastructure, "OCEAN." The strategic move is designed to accelerate the bank’s utilization of unstructured data while maintaining rigorous privacy governance. Unlocking Unstructured Data for Generative AI MUFG
neobank
NTT DOCOMO, Sumitomo Mitsui Trust Bank, and SBI Sumishin Net Bank have decided to change the latter's trade name to "DOCOMO SMTB Net Bank" effective Monday, August 3, 2026. This name change is subject to approval by the relevant authorities. Additionally, with the aim of further
NBFC
MUFG Bank, a consolidated subsidiary of Mitsubishi UFJ Financial Group, has entered into an investment agreement with Shriram Finance, a leading non-banking financial company (NBFC) in India, and its major shareholders, Shriram Ownership Trust and Shriram Capital, to subscribe to a preferential allotment of 20% in equity shares in Shriram
Weekly
Welcome to the one hundred forty-second edition of the Japan FinTech Observer. The week commencing December 15 will very much be the last week of significant business activity for the calendar year. The Diet will have its last session, and the Bank of Japan will raise the policy rate to
insurance agency
Ginsen, Mitsui Sumitomo Insurance Company, and Sumitomo Mitsui Financial Group have agreed to establish a jointly invested insurance agency business company on April 1, 2026. 1. Purpose of Establishing the New Company Against the backdrop of problems such as fraudulent insurance claims and insurance premium adjustment practices in the non-life
artificial intelligence
Mizuho Financial Group has developed a "finance-specialized LLM (Large Language Model)" trained on banking-specific business knowledge, rules, and procedures, which has achieved passing-level performance on banking practical exams. This model has acquired complex industry-specific rules and regulations unique to the financial sector, as well as internal procedures and
lending
In "Key Directives and Priorities of Japan's Financial Services Agency (October 2025)", we mentioned that Japan's Financial Services Agency (FSA) is advancing two primary programs aimed at strengthening the real economy and improving business financing, one of which is the Enterprise Value Charge (EVC,