Financial Times (January 14, 2014)
“One trend that is prompting parts of Japan Inc to shop abroad is the ageing population. Japanese banks and insurers, for example, are increasingly looking to the younger demographics of southeast Asia to build up their next generation of depositors and policy holders.” And while this was part of the rationale behind Suntory’s acquisition of Beam, a new overseas M&A boom is unlikely given the weak yen, especially as many “companies remain unwilling to borrow for expansion after years of cutting costs and hoarding cash.”
Tags: Acquisition, Ageing, Banks, Beam, Cutting costs, Demographics, Depositors, Expansion, Hoarding cash, Insurers, Japan, M&A boom, Overseas, Policy holders, Population, Southeast Asia, Suntory, Yen
Institutional Investor (June issue)
“Optimism is beginning to infect Japan’s corporate leaders–a crucial factor considering that the new policies must spur corporate investment and expansion if they are to succeed in fostering a sustainable economic turnaround.” Corporate leaders have welcomed Abenomics, but the jury is still out. “Corporate Japan will consider the new government successful if it can end the psychology of deflation and stagnation and offer the prospect of renewed growth. So far, business leaders are fairly optimistic.”
Tags: Corporate leaders, Deflation, Expansion, Government, Investment, Japan, Optimism, Psychology, Stagnation
Euromoney (May Issue)
“The central bank-driven global money-go-round has been turning ever faster since last summer. Now the Bank of Japan has turbo-charged it. So far, investors are enjoying the ride. But a bout of nausea cannot be ruled out.”
Tags: Bank of Japan, Central banks, Expansion, Investors, Monetary policy, Outlook, Risk
