Japanese banks seen losing profit driver as Asian economies slow

Tokyo

JAPAN's three biggest lenders will probably report a drop in second-quarter profit after Asia's economic slowdown weakened overseas loan growth and global financial-market volatility crimped fee businesses.

Combined net income at Mitsubishi UFJ Financial Group Inc, Sumitomo Mitsui Financial Group Inc and Mizuho Financial Group Inc fell 24 per cent from a year earlier to 597 billion yen (S$6.9 billion) in the three months ended Sept 30, according to calculations based on the average of five analyst estimates compiled by Bloomberg.