Tohoku Bank's business strengthening plan approved by Japan's FSA

The Tohoku Bank announced on September 22, 2025, that its business strengthening plan, covering April 2025 to March 2028, received approval from Japan's Financial Services Agency. This plan, established under the Act on Special Measures for Strengthening Financial Functions, aims to enhance the bank's financial capabilities and contribute to regional economic revitalization. The bank's prior business strengthening plan, from 2022 to 2025, saw a 576 million yen increase in core earnings to 1,296 million yen by March 2025, surpassing initial targets.

The new plan targets a net income of 2,000 million yen, customer service profits of 2,000 million yen, and a self-capital ratio of over 8.5% by March 2028. It emphasizes four key initiatives: regional revitalization, decarbonization and primary industry support, revenue growth, and organizational reinforcement. These strategies build on the prior plan's success in increasing lending to small and medium-sized enterprises by 22,765 million yen and expanding loan balances to primary industries, demonstrating a continued commitment to regional economic development and financial resilience.

The bank's "Tohoku Vision" underscores a commitment to regional development and enhanced financial stability, with a long-term goal of repaying public funds and maintaining a self-capital ratio above 8.5% by March 2037. The plan confirms the bank's progress, including a self-capital ratio of 8.99% as of March 2025, showing resilience and improved profitability.