Major Banks' Lending Trends Survey (October)
Overview
The Bank of Japan’s Financial System and Bank Examination Department published the “Major Banks’ Lending Trends Survey (October 2026).” It was conducted from September 9 to October 13, 2026, among the top 50 domestic banks and shinkin banks. Over the past three months, demand for funds was mostly unchanged across businesses, local governments and similar entities, and individuals. Most respondents also expected demand to remain unchanged in each area over the next three months. Lending policies over the past three months were largely unchanged for businesses of all sizes and for individuals. In lending terms, the margin-setting DI was negative for businesses of every size; by borrower rating, 88% reported unchanged margins in every rating category.
Key points
- The survey covered 50 banks and shinkin banks, accounting for about 80% of total lending.
- Demand for funds was mostly unchanged across all areas over the past three months.
- Expectations that demand for funds would remain unchanged across all areas over the next three months were also the most common.
- Over the past three months, the margin-setting DI for large, medium-sized, and small businesses was -7 percentage points in each category.
Overview
The Bank of Japan’s Financial System and Bank Examination Department published the Major Banks’ Lending Trends Survey (October 2026). Responses were collected from September 9 to October 13, 2026.
The survey was conducted with the cooperation of the top 50 lenders by outstanding loan balance among domestic banks (with some exclusions) and shinkin banks that do business with the Bank of Japan. Together, these respondents accounted for about 80% of total lending by domestic banks and shinkin banks.
Details
The DI for demand for funds over the past three months was -1 percentage point for businesses, 3 percentage points for local governments and similar entities, and 3 percentage points for individuals. The shares reporting no change were 86%, 94%, and 88%, respectively. By business size, the DI was 5 percentage points for large businesses and 1 percentage point each for medium-sized and small businesses.
The outlook DI for demand for funds over the next three months was 4 percentage points for businesses, 0 percentage points for local governments and similar entities, and 1 percentage point for individuals. The shares expecting no change were 88%, 98%, and 96%, respectively.
Over the past three months, lending policies were reported as largely unchanged by 92% for large businesses, 96% each for medium-sized and small businesses, and 98% for individuals. For the next three months, all respondents expected policies for medium-sized and small businesses to remain largely unchanged, while 96% expected no change for individuals.
Over the past three months, the DI for credit limits was 0 across all business sizes, while the margin-setting DI was -7 percentage points across all sizes. For small businesses, the DI was -1 percentage point each for borrower credit risk assessments and collateral requirements.
Over the past three months, 88% of respondents reported unchanged margin settings for borrowers in each of the upper, middle, and lower rating categories. For the next three months, 88% also expected margins to remain unchanged in each rating category.
Business size is classified as large, small, or medium-sized based on capital and the number of regular employees. Rating categories are determined by each bank’s internal ratings; as a guide, domestic long-term bond ratings of AAA–BBB are classified as upper, BB–B as middle, and CCC or below as lower.