Press Conference by Shozaburo Jimi, Minister for Financial Services

(Excerpt)

(Wednesday, January 5, 2011, from 10:20 a.m. to 10:26 a.m.)

[Questions & Answers]

Q.

Could you tell me what your resolutions for this year are in your capacity as the Minister for Financial Services and Postal Reform?

A.

The three very important missions of the Financial Services Agency (FSA) are to prevent the financial sector from being struck by systemic risks-Japan was nearly hit by a systemic risk more than 10 years ago-both in Japan and abroad, to facilitate financing, and to protect users. As you know, the global financial system has destabilized significantly since the Lehman shock, which occurred three years ago. Therefore, with such things in mind, we will perform our duties properly. In particular, Japan announced last year that it would extend the SME Financing Facilitation Act (Act concerning Temporary Measures to Facilitate Financing for SMEs, etc.) for one year and we believe that we must facilitate financing for small and medium-sized enterprises (SMEs) under the present circumstances. Although there is also the issue of financial discipline, we will do our utmost to boost the economy, which is the most important task for the moment, while keeping both of these things in mind.

Regarding the full enforcement of the amended Money Lending Act starting on June 18 last year, we established the Follow-Up Team on the Amended Money Lending Act immediately after the start of the enforcement, as you know. This act has significant effects on the people's lives, so we must keep a careful watch on that, too. These are my resolutions.

Q.

There has been a media report that an affiliate of H.I.S., a travel agency, is considering purchasing shares in Shinginko Tokyo. Could you comment on that?

A.

I am aware of that report. However, now is not the time for me to make any particular comment on that.

Q.

If things go in that direction, how would you evaluate it?

A.

I don't think that it would be appropriate to answer a hypothetical question like that at this time.

(End)