OSAKA -- Daiwa Bank will set up a project team to work out business strategies utilizing information technology, bank officials said Friday.
IT-based strategies are necessary to rationalize operations and offer more customer-friendly services through efficient combination of customer databases and other existing systems, the officials said.
Daiwa Bank will send a group of its employees to the United States in September to study the use of IT by big regional banks there. The project team will be set up following the group's return.
Daiwa has a large branch network in the Kansai region, western Japan, including outlets of Kinki Osaka Bank. It is reviewing operations with the aim of concentrating management resources on private banking and other profitable services.
43 billion yen capital cut
Chiba Kogyo Bank, a regional bank based in the city of Chiba, said Friday it will carry out a capital reduction of 43.3 billion yen on Sept. 20 to improve its financial health.
The capital reduction will follow new share issues worth 28 billion yen through third-party allotments to Fuji Bank, Yasuda Fire & Marine Fire Insurance Co. and Yasuda Mutual Life Insurance Co., with payment due next Monday.
With the transactions, Chiba Kogyo's capital will be reduced to 27.93 billion yen from 43.23 billion yen as of the end of March.