BOJ Warns Middle East Conflict May Raise Default Risks
The Bank of Japan warns that Middle East tensions could raise energy costs and corporate defaults. The report also flags risks from foreign non-bank lenders.
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The BANK OF JAPAN/THE has stated that Japan must remain alert to financial system risks originating from Middle East instability. In its latest semi-annual report, the central bank warned that persistent regional tensions could keep energy costs, such as those impacting the price of Brent Crude Oil, at elevated levels, potentially leading to an increase in corporate defaults.
