The administration on Thursday nominated an executive of Sumitomo Mitsui Financial Group Inc. to take over a Bank of Japan Policy Board slot traditionally held by a banker.

The nominee is Koji Ishida, 63, president of Sumitomo Mitsui Finance & Leasing Co., according to a statement released after a committee meeting of lawmakers from both Diet chambers. The leasing company is a unit of SMFG, Japan's second-largest bank by market value.

Ishida would take over from Tadao Noda, a former Mizuho Holdings Inc. executive, who during his tenure has sometimes proposed tighter monetary policy in opposition to most other board members.