Rates on housing loans tied to long-term prime rates
are likely to be raised.
Shinsei Bank and Aozora Bank also announced cuts in their long-term prime rates to 1.70% from 1.90%, effective Tuesday.
The long-term prime rate is set 0.9 percentage point higher than the coupon on five-year bank debentures.
The other two long-term credit banks are likely to lower their long-term prime rates
in tandem with IBJ.
The nationalized Long-Term Credit Bank of Japan and Nippon Credit Bank also announced they will cut their long-term prime rates
by the same margin to 2.3% Friday.
The nation's three long-term credit banks said Thursday they will raise their long-term prime rates
to 2.9% per annum from 2.2%, effective Friday.
Japan's three long-term credit banks said Wednesday they will keep their long-term prime rates
for September unchanged at 2.5% per annum for the third straight month.