The move came in response to calls from some ruling party lawmakers for the Bank of Japan (BOJ) and the Financial Services Agency (FSA) to ease the burden on lenders by removing overlaps in bank examinations done separately.
In a list presented to a ruling party panel, the BOJ and the FSA said that, starting from the next fiscal year, they would share with each other more information obtained from bank examinations.
The BOJ will also cut the volume of material and duration of meetings with executives it seeks from financial institutions, the list, obtained by Reuters, showed.
BOJ and FSA executives will check in regularly with major banks to identify areas for streamlining and do joint research on key themes such as cyber-security and stress tests, the list showed.
The move reflects calls to streamline government operations by Prime Minister Yoshihide Suga, who has made administrative reform one of the key pillars of his growth strategy.
The BOJ conducts hearings and on-site monitoring in voluntary examinations on financial institutions. But it does not have regulatory authority, which is wielded by the FSA. (Reporting by Kentaro Sugiyama; Additional reporting and writing by Leika Kihara; Editing by Clarence Fernandez)