Archive · 13 Aug 2025
Rakuten Bank to Delay JGB Purchases Amid Interest Rate Concerns
Rakuten Bank, a Japanese online bank, is being careful with its money.
They have a lot of money from customers, but they're not buying Japanese government bonds right now because interest rates might go up.
The bank is waiting for the central bank to raise rates again to make sure they don't lose money.
They also manage mortgages, and they will be careful there too, not offering super cheap rates.
The bank's financial side is important to its parent company's profits.
Rakuten Bank will likely avoid buying Japanese government bonds until interest rates increase.
The bank's deposits have grown significantly due to its online banking services.
Rakuten Bank held approximately ¥617 billion in Japanese government bonds at the end of June.
The bank plans to manage mortgage loan products cautiously, adjusting to rising yields.
Rakuten Bank's financial operations contribute significantly to the Rakuten Group's earnings.
- Who
- Rakuten Bank Ltd.
- What
- Rakuten Bank will likely hold back from actively buying Japanese government bonds.
- When
- Until the central bank raises interest rates again.
- Where
- Japan
- Why
- Due to uncertainty and volatility in the market, and to avoid setbacks against rising yields.
Rakuten Bank's View
General Market Sentiment
Investment Strategy
Rakuten Bank's View
Rakuten Bank is cautious about buying JGBs and lending due to the anticipation of rising interest rates.
General Market Sentiment
The stance taken by the Bank is not explicitly present in the article.
- Bank
- Rakuten Bank Ltd.
- Parent Company
- Rakuten Group Inc.
- Total Deposits (June)
- ¥11.7 trillion ($79 billion)
- JGB Holdings (June)
- ¥617 billion
- Total Loan Balance (June)
- ¥4.76 trillion