Japan Financial Soundness Indicators
Quarterly financial soundness indicators of Japan compiled under the IMF FSI guide from Banque de Japan supervisory data: capital adequacy of deposit takers (regulatory capital, Tier 1 and CET1 ratios, leverage), asset quality (nonperforming loans and provisions, real estate and foreign currency loans, geographic distribution of loans), profitability (return on assets and equity, interest margin, cost-to-income), liquidity (LCR, NSFR, liquid assets), and indicators for non-financial corporations, households and the real estate market.
| Indicator | Q3-2025 | Q2-2025 | Q1-2025 | Q4-2024 | Q3-2024 | Q2-2024 | Q1-2024 | Q4-2023 | Q3-2023 | Q2-2023 | Q1-2023 | Q4-2022 | Q3-2022 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Capital adequacy of deposit takers4 | ||||||||||||||
| Regulatory capital to risk-weighted assets | 17.2 | 16.71 | 17.35 | 16.41 | 14.87 | 14.87 | 14.18 | |||||||
| Tier 1 capital to risk-weighted assets | 15.72 | 15.19 | 15.72 | 14.92 | 13.39 | 13.37 | 12.69 | |||||||
| Tier 1 capital to total assets (leverage) | 4.59 | 4.32 | 4.57 | 4.4 | 4.22 | 4.14 | 4.07 | |||||||
| Nonperforming loans net of provisions to capital | 4.74 | 5.21 | 5.72 | 6.68 | 6.36 | 6.07 | 7.3 | |||||||
| Asset quality and lending structure1 | ||||||||||||||
| Nonperforming loans to total gross loans | 1.03 | 1.1 | 1.21 | 1.28 | 1.2 | 1.19 | 1.23 | |||||||
| Earnings and profitability of deposit takers4 | ||||||||||||||
| Return on assets | 0.44 | 0.21 | 0.39 | 0.16 | 0.26 | 0.2 | 0.27 | |||||||
| Return on equity | 13.41 | 6.24 | 11.66 | 4.74 | 7.74 | 5.76 | 8.11 | |||||||
| Interest margin to gross income | 58.65 | 70.56 | 55.38 | 60.98 | 58.84 | 66.63 | 68.71 | |||||||
| Noninterest expenses to gross income | 51.48 | 68.28 | 52.31 | 66.37 | 60.59 | 70.43 | 58.91 | |||||||
| Liquidity and market risk of deposit takers5 | ||||||||||||||
| Liquid assets to total assets | 30.67 | 32.94 | 32.35 | 32.48 | 32.18 | 33.35 | 31.54 | |||||||
| Liquid assets to short-term liabilities | 48.33 | 49.85 | 49.26 | 49.33 | 49.86 | 50.76 | 49.44 | |||||||
| Customer deposits to total (noninterbank) loans | 141.49 | 143.25 | 143.23 | 145.91 | 144.82 | 146.95 | 144.41 | |||||||
| Gross asset position in financial derivatives to capital | 76.84 | 77.2 | 67.64 | 81.09 | 108.2 | 76.24 | 121.85 | |||||||
| Gross liability position in financial derivatives to capital | 80.32 | 81.18 | 72.14 | 87.27 | 115.11 | 80.31 | 128.18 | |||||||
| Real estate and other financial corporations1 | ||||||||||||||
| Residential real estate prices, change over 12 months | 4.3 | 3.7 | 4.7 | 2.8 | 3.2 | 2.8 | 2.5 | 2 | 2.2 | 3.2 | 4.7 | 7.5 | 7.9 |
Latest reading
Regulatory capital to risk-weighted assets stood at 17.2% in Q3 2025. That is −0.1 pp from a year earlier. The series on this page is quarterly and runs from Q3 2009 to Q3 2025. Source: IMF – Financial Soundness Indicators (FSIC), data reported by Banque de Japan.
- Latest
- 17.2%
- Q3 2025
- vs a year earlier
- −0.1 pp
About this data
Quarterly financial soundness indicators of Japan compiled under the IMF FSI guide from Banque de Japan supervisory data: capital adequacy of deposit takers (regulatory capital, Tier 1 and CET1 ratios, leverage), asset quality (nonperforming loans and provisions, real estate and foreign currency loans, geographic distribution of loans), profitability (return on assets and equity, interest margin, cost-to-income), liquidity (LCR, NSFR, liquid assets), and indicators for non-financial corporations, households and the real estate market. Percent.
