Salt Lake Telegram | 1932-04-11 | Page 13 | Japanese Banks Have a Bad Year

JAPANESE BANKS HAVE A BAD YEAR TOKYO Japan April Apri 9 0 P Banks P-Banks Banks In n Japan are feeling more than ever the strain of the continued industrial and commercial depression This is shown In large reductions in n deposits deposit and loans in the case ense of the leading banking institutions The report of or the clearing house of 35 cities cites in ill Japan for February shows deposits deposIt held at the end of that month totaled yen a drop of ot yen from the end of Janu Janu- ary The yen is valued at 50 cents at par Loans outstanding at the end of February totaled yen for these clearing house banks a decline de de- de cline dine of or yen from the previous pro pre pre month month While the tile big banks of Tokyo and Osaka are weathering the storm owing owing ow ow- ing to their conservative business polIcy policy pol pol- icy ley and ironclad reserves the tile smaller banks in the country prefectures are having a bad time The year 1931 was ns as one of the worst in their history Even the solid soUd banks in the chief cities have had to write off oU large amounts I and transfer funds from their re re- re I serves Depreciation of securities held by the banks has been very great the loss ranging from 5 per cent in the I case of the Mitsui bank to 37 per percent percent cent for the Mitsubishi bank I The financial troubles in England and Germany were reflected in Japan Japan Ja Ja- Ja I pan In many ways especially in the I prices of ot bonds For example Kobe City 5 per cents considered gilt edged dropped 1030 en from the 2720 yen of the middle of ot last year of Due to the revival of the gold old embargo embargo em em- bargo by the Japanese companies and municipalities that thai have to pay Interest and sinking funds on loans made abroad face a heavily increased burden and those which did so under guarantee from the government gov gov- are reported to be it II to take make mae good their losses loses or at least part of ot them In view of the governments governments government's govern ments ment's own financial straits however there seems little hope of their getting getting get get- ting relief