Zombie banking, zombie borrowing: Japanese lessons for the COVID-19 era

Nicolas Véron (PIIE), Hoshi Takeo (University of Tokyo) and Takeshi Tashiro (PIIE)


December 22, 2020 8:00 AM to 9:00 AM EST
Virtual Event

Event Summary

Japan’s “lost decade” of the 1990s provided what is widely viewed as a textbook example of financial zombification, in which banks keep extending credit to unviable borrowers and delay the corresponding impairment of bad loans. In this session, we will discuss the challenges of the COVID-19 era in advanced economies in the light of the Japanese experience.

Joining this episode of Financial Statements were:

Nicolas Véron, Senior Fellow, Peterson Institute for International Economics (PIIE)

Hoshi Takeo, Professor of Economics, University of Tokyo
Takeshi Tashiro, Nonresident Senior Fellow, PIIE


Financial Statements is a virtual event series hosted twice a month by Nicolas Véron that explores changes in the world of finance, encompassing themes of financial services regulation, corporate finance and governance, systemic fragility and crises, and structural changes driving business and policy trends in the financial sector.