Financial Services Agency Updates Disclosure on Management Guarantees: Promoting Fairer Lending Practices
Tokyo, Japan – The Financial Services Agency (FSA) of Japan has announced an update to its publicly available data concerning the utilization of the “Guidelines on Management Guarantees.” This comprehensive update, released on July 31, 2025, at 17:00, provides valuable insights into the practical application of these guidelines by individual financial institutions, as well as their performance across different business types. Furthermore, it details the progress made by these institutions in disclosing their specific approaches and initiatives related to the guidelines.
The “Guidelines on Management Guarantees,” first introduced to promote a more equitable and sustainable business environment, aim to encourage businesses to operate and grow without the undue burden of personal guarantees from their management. This initiative seeks to foster innovation and entrepreneurship by reducing the personal financial risks associated with business ventures.
The newly updated information on the FSA’s website (https://www.fsa.go.jp/policy/hoshou_jirei/jisseki_kobetsu.html) offers a transparent view into how these guidelines are being implemented. It allows stakeholders, including business owners, financial institutions, and the public, to assess the progress and effectiveness of this crucial policy.
Key aspects of the updated publication include:
- Individual Financial Institution Performance: The data provides specific reports on how each individual bank and other financial institutions are applying the management guarantee guidelines. This granular level of detail enables a clear understanding of the adoption rates and specific practices being employed by different entities.
- Sector-Specific Performance: The update also categorizes and presents the utilization data by the type of financial institution. This allows for a comparative analysis of how various banking sectors and financial service providers are engaging with the guidelines, highlighting best practices and areas for potential improvement.
- Disclosure of Initiatives and Policies: Crucially, the FSA has also updated information regarding the disclosure of each institution’s specific initiatives and policies related to the management guarantees. This transparency is vital in ensuring that businesses can understand the framework within which lending decisions are made and how their requests for guarantees are being evaluated.
This ongoing commitment by the FSA to publicly disclose and update information on the utilization of the “Guidelines on Management Guarantees” underscores its dedication to fostering a more supportive ecosystem for businesses in Japan. By providing this level of transparency, the FSA aims to:
- Enhance Trust and Transparency: Empowering businesses with clear information about lending practices and the application of management guarantees can build greater trust between financial institutions and their clients.
- Promote Fairer Lending: The guidelines are designed to encourage financial institutions to assess borrowers based on their business fundamentals rather than relying heavily on personal guarantees, thereby promoting fairer lending practices.
- Support Business Growth: By reducing the reliance on personal guarantees, the guidelines aim to alleviate financial pressure on business owners, allowing them to focus on the growth and development of their enterprises.
The FSA encourages all interested parties to review the updated information on their website. This continuous effort to monitor and report on the practical application of these guidelines signifies a proactive approach to supporting Japan’s economic vitality and promoting a robust business environment.
「経営者保証に関するガイドライン」の活用実績等について（個別行実績・業態別実績及び取組方針の公表状況）を更新しました。
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