BOJ's Ueda: G7 finance chiefs to debate financial system risks

NIIGATA, Japan : Calm has returned to the global financial system after the recent failure of several U.S. banks, but Group of Seven finance leaders will communicate closely to respond to any renewed instability, Bank of Japan Governor Kazuo Ueda said on Thursday.

Ueda also said there was no serious impact from the recent volatility on Japan's banking system, with stress test results showing that none of its banks were facing major trouble. "Thanks to the speedy response of U.S. and European authorities, financial markets and the global banking system have restored calm," Ueda told reporters ahead of a G7 finance leaders' gathering in the Japanese city of Niigata, which he will chair with Finance Minister Shunichi Suzuki.

"But our counterparts may have various views on whether we could see unstable movements ahead. We hope to look back on what has happened and communicate closely on what we've found out so far," Ueda said, referring to the G7 meeting's scheduled discussions on global financial system risks.

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