Japanese banks need to improve op risk management, says BOJ

The central bank said in its Review of on-site examination policy in fiscal 2002 and plans for fiscal 2003 that some firms had failed to manage operational risks caused by systems integration. Japanese banks have undergone a period of major consolidation over the past three years, with 11 major institutions merging into four.In fiscal 2002, the main operational risk problem was the risk management of computer systems, as evidenced by large-scale malfunctioning among major banks as a result o