Norinchukin Is at Risk of Downgrade by Moody’s on Bond Losses
- Japanese agricultural bank faces hefty losses on debt sales
- Higher-for-longer rates to hurt profitability: Moody’s
The Otemachi One Tower building, center, which houses the Norinchukin Bank head office, in Tokyo.
Photographer: Noriko Hayashi/BloombergThis article is for subscribers only.
Norinchukin’s credit ratings have been placed on review for downgrade by Moody’s Ratings, which cited the Japanese bank’s impending large losses from sales of foreign bonds.
The unlisted agricultural bank warned last month that it may incur losses of 1.5 trillion yen ($9.3 billion) this fiscal year as it sells US and European sovereign bonds that lost their value after interest rates rose.