Report to show Japan's banks failing capital test

A comprehensive study of Japan's financial system being carried out by the International Monetary Fund will reveal that the capital adequacy of a number of Japanese banks falls below international requirements, according to a former IMF economist.

The IMF's report will be critical of how bad loans are classified, of the level of provisioning at banks, and of the quality of bank capital, said Sayuri Shirai, associate professor of Keio University and a visiting scholar at the Asian Development B