Japan’s bank lending grew by 5.3% year-on-year in September 2026, matching the downwardly revised figure for August and falling short of market expectations for a 5.5% rise. Outstanding loans at major, regional, and shinkin banks averaged JPY 681.97 trillion. Lending at major and regional banks rose 5.7%, easing from 5.8% in August, with major-bank lending growth slowing to 7.7% from 7.8%, while regional-bank lending growth stood at 4.1%. Within regional banks, lending growth held steady at 4.5% for regional banks I, while growth at regional banks II eased to 1.9% from 2.0%. Meanwhile, lending by shinkin banks held steady at 2.0%, remaining at its strongest growth rate since early 2023. Foreign-bank lending growth slowed to 14.5% from 25.6% in August.