Overall performance of the Japanese banking system remains stymied despite sound domestic asset quality and credit costs, says Fitch Ratings. Fitch's Special Report on the Japanese 'mega' banks, published today, summarises the challenges of Abenomics and Japanese mega banks' multiple headwinds under the current operating environment. Fitch sees the Japanese government's policy launched in 2012 as at a crossroads, which has triggered the authorities' introduction of unconventional policies - Qualitative-Quantitative Easing (QQE) and Negative Interest Rate Policy (NIRP). We view NIRP as holding back the banking ... (full story)