Japan's non-performing loans undermining economy

Nakaso, associate director of the financial markets department and international department, argued that while non-performing loans (NPLs) have haunted the Japanese banking system since the bursting of the bubble economy in the early 1990s, the plight of banks is steadily worsening following a continued decline in the Japanese economy. "Now we are seeing more and more loans that were once classified as normal becoming non-performing loans as a result of the stagnation of the Japanese economy,"

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