Reborn Tokyo Golden Age.

Chapter 469 The Brazen Financial Industry
The reason why neon in 88 fell into the carnival of the whole people was because the stock market and property market continued to rise, which brought huge profits to people.

In addition, the turmoil in the international environment has also given the neon people the illusion that they are the center of the world.

Ouzhou's social order is unstable due to high unemployment and democratization in Eastern Europe.

The ongoing fiscal deficit, housing financial crisis, social credit crisis, etc. in the United States continue to rise.

Coupled with the confrontation between Misu, it can be said that the entire world situation seems to be on the verge of collapse at any time.

But looking back at Neon, the economic and political situation is relatively stable. Coupled with the dividends of previous economic development, it can be said that the lives of Neon people are indeed getting better and better.

Now that the golden age has begun, look at foreign countries and compare it with China.

As a result, the slogan "Japan's No. [-]" resounded throughout Neon, and everyone believed that the era of "Neon" had arrived.

Hence the scene where Hideo Kojima and the others were drinking in the harbor area at night.

Don't look at Akagi who seems to be lavish and doesn't care about the cost of dinner, it's not because he is complacent.

But in this era, people really drink foreign red wine as plain water.

Since the appreciation of the yen, the former foreign luxury goods here in Neon have become mass consumer goods.

Red wine, French-style meals, and Western-style handmade products have all become objects that people can consume at will.

Although Bai Chuanfeng knew that such a luxurious style would not last long, he had no way to persuade people to change this style.

Even with the people around him or the employees under Baichuan Holdings, he did not interfere too much.

The social environment is such that personal will can't play the slightest role in front of it.

So when other companies are offering generous benefits to their employees, Baichuan Holdings can only follow the trend.

Otherwise, if others are drinking wine and golfing, but I am living a life of poverty, will the employees of Baichuan Holdings have no idea?

Don't forget that Quan Nihong is now staging a war of grabbing people. If Bai Chuanfeng sticks to his previous style, it is estimated that Bai Chuan Holdings will soon run out of people.

Therefore, Baichuan Holdings is also issuing subsidies of hundreds of thousands or millions, which are even more than those of its peers.

Since the last time it made a profit in the Plaza Accord, Bai Holdings has also made quick money in the foreign exchange market and stock market in the following years.

Although the money is not too much, it is still enough to distribute benefits to employees.

Think of it as attracting talents and stabilizing temporary expenses of the enterprise.

Anyway, in just a few years, Baichuan Holdings can afford this amount of money.

Under the influence of the social environment, the employees of Baichuan Holdings are just one of the ordinary people.

It was a personal choice for them to have fun in the bubble era, and Bai Chuanfeng didn't need to restrict anything for it.

But in some matters, he couldn't let his company follow the trend.

For example, banks, financial institutions, and private institutions all in Nihong are lending money without restraint.

So can Beidu Bank follow the trend and do the same?Of course not!

"Arai-san, Northern Capital Bank still sticks to the original bottom line in terms of lending.

Unless there is sufficient collateral assets, the lending limit will be tightened. "

“At present, Beidu Bank’s main loan targets are medium and large enterprises, and their loan quotas account for more than 60% of Beidu Bank’s total lending quota.

In addition, there are loans to small and medium-sized enterprises and personal loans. Their loan review is the most stringent, and unsecured loan applications are almost never approved. "

"Very well, don't relax the supervision in this area for now, the current stock market and property market are too hot."

"Hay" Arai Yuneng understood what Bai Chuanfeng meant when he said it was too hot.

To be honest, after living so long, he has only seen such a scene in his life.

While feeling uneasy, Yu Arai was extremely envious of his peers making a lot of money.

But since Bai Chuanfeng insisted on the shrinking strategy, he could only implement it.

"Arai-san, are you wondering why Hokuto Bank doesn't lend as much as other banks?"

Seemingly seeing his doubts, Bai Chuanfeng chatted with him about this topic naturally.

"Is Chairman Bai Chuan worried about the ups and downs in the stock market and property market?"

Anyone with a discerning eye knows that most of the money in Neon Bank now flows to these two places.

Arai Yu himself is in charge of the bank, and he knows this best.

If Bai Chuanfeng was worried that Beidu Bank's loans would become bad debts, then the stock market and property market must be the culprits.

Regarding Yu Arai's answer, Shirakawa Feng also nodded in approval.

"Arai-san, do you still remember the industry report we read together last time?"

Yu Arai's expression changed. The annual banking industry report will be professionally interpreted by Beidu Bank in the spring of the coming year.

This report includes not only the financial reports released by Beidu Bank itself, but also other Neon banks, as well as data statements from large financial institutions.

"In the whole of last year, the top 40 banks in Nihong have lent a total of [-] trillion yen to the real estate industry.

This amount accounts for a quarter of the total number of loans, which is 25%.

Real estate loans account for 25% of all industries in Neon, which is too high.

And in addition to uncontrolled lending, almost all banks are secretly expanding their leverage ratios to increase profits.If you check it casually, there is a high probability that these banks have violated the Basel Agreement of the Bank for International Settlements.

They lend shareholders' unrealized profits as capital, which further expands the amount of money in circulation.

These are only the top [-] banks with statistical data, and other local small banks and special banks are not included in the statistics.

In addition, look at those private financial institutions, in order to compete for profits and share the market.Thousands of non-bank institutions such as finance companies and investment companies are also secretly lending money to the public regardless of policy restrictions.

They are unregulated, unrestricted.It is unbelievable that even minors dare to lend 500 million yen without collateral. "

This is a real event in society at this time, and it has almost become the norm for lenders.

Because the hot money has flowed to the stock market and the property market, banks also open the door to convenience when providing loans to the public for real estate speculation.

At this time, let alone the public, even the banks feel that land prices will not fall.Assets that are mortgaged by real estate are benign assets, so banks can lend with confidence.

Because of the real estate speculation by the whole people, banks have won a lot of loan business.Although the interest rate is low, it is still a profit.

Moreover, many house speculators have sold their houses in exchange for a large sum of money in a short period of time, and the bank's debts will also be repaid at this time.

So, stimulated by short-term profits and long-term profits, many financial companies and investment companies began to raise funds to lend.

Their interest rates are higher than those of banks, but the advantage is that the review process is lax, and even minors dare to lend money. There is nothing they dare not do.

Because of the chaos in the financial market, many so-called financial companies and investment companies are actually under the control of Ji Dao.

They transformed the loan sharks that were hidden in the dark into the current financial companies, and then openly lent money to the people.

It's magic, the bubble economy has turned the formerly hidden poles into formal clubs.

The benefits are tempting. If you can make money in an open and aboveboard manner, who would want to do those detestable activities.

According to the statistics and calculations of the Northern Metropolis Bank, these numerous private institutions have also lent at least 30 trillion yen to the real estate market.

Many of these large companies are also secretly doing loan business, or directly entering the market to speculate in real estate and stocks.

In short, the current loan amount in the neon real estate market is as high as 70 trillion yen, accounting for about 80% of the gross national product.

Is this a high proportion?If you look at the United States opposite, you will know that the figure in the United States is 33%.

And data like the United States have faintly exposed the financial crisis in real estate.

So I know with my butt that Neon’s real estate is too abnormal at this time.

However, the fact is that this is not the end of the madness. We are only in 88, and we are still two or three years away from the peak years of 90 and 91.

After listening to Bai Chuanfeng's analysis, Arai Yu also calmed down slowly.

Before that, he was also confused by the hot real estate market, thinking that the contraction policy of Northern Capital Bank would make him miss a large profit.

After all, Bank of Japan, Fuji, Mitsui, Mitsubishi, and Daiichi Bank are all doing this, and Arai Hiroyuki's previous thoughts were normal.

"Bai Chuan-san, do you think we need to be stricter in reviewing real estate loans?"

For some reason, Arai Yu, who was still full of confidence, suddenly became a little uneasy in his heart at this moment.

"That's not necessary. Our current loan targets are all medium and large clubs. In terms of risk resistance and repayment ability, they are much stronger than ordinary people."

Because these enterprises are large enough, even if there is a thunderstorm in the future, they will not collapse.

However, it is certain that the loss will be heavy, but as long as the money from Beidu Bank can be recovered, or there is substantial collateral, then it will not be a big problem.

As for personal business, the proportion in Northern Capital Bank is limited, so don't worry too much.

Speaking of which, because Beidu Bank has strict review on personal business, it has also suffered many complaints from the public.

They use unlimited dolls in other banks, and they can borrow at will.

But after you set it up once at Beidu Bank, it is very difficult to set it up a second time.

Although it has been complained by many people and even labeled as a "stingy bank", Beidu Bank still has not changed its strategy.

The explanation to the outside world is to ensure the turnover of bank funds, and nothing else will happen.

“Neon’s GDP growth rate in the past year was only 5%, the lowest in recent years, but people are getting richer and richer.

Where did the money come from?From the stock market, from the property market, and from future overdrafts.

Alas, not a good sign. "Bai Chuanfeng put down the information in his hand with some emotion.

Because the manufacturing industry was hindered, the growth rate of Neon's GDP dropped directly, but now the good times are getting sweeter and sweeter.

There are various indications that the current economy of Neon is not normal.

"President Shirakawa, then...shall we remind others?" Yu Arai asked uncertainly.

"Reminder of what? Remind others that the economy of Neon is not normal?

Not to mention whether others believe you or not, do you think those chaebols really didn't notice it at all?
Remember Arai-san, if you don't want to cause trouble, you have to learn to pretend to be confused.

Otherwise, the chaebol would dare to do anything for profit. "

Looking at Shirakawa Kaede's meaningful eyes, Arai Yu suddenly shuddered.

The real reason behind the soaring property and stock markets seems to be not just the appreciation of the yen.

(End of this chapter)