Nomura predicts Japanese bank consolidation

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Nomura's chief executive has said that he expects the current financial crisis will lead to more Japanese banks undergoing more global acquisitions and consolidations.

Kenichi Watanabe said that he also expected the strong yen would encourage Japanese countries to search out more cross border deals.

This, he said, would only increase an already record breaking number of overseas acquisitions by Japanese firms this year.

Mr Watanabe said: "Now Japan is done with the consolidation of major banks. I expect further consolidation will take place among regional banks."

He continued: "There are many Japanese firms that consider the yen's strength against the euro, pound, and dollar as an opportunity."

The firm yen is, he said, not necessarily a bad thing for Japanese companies.

Nomura Holdings recently announced a new global structure for its wholesale IT and operations functions following its recent acquisition of parts of the former Lehman Brothers in Asia and Europe.