By Miyu Okada / Yomiuri Shimbun Staff Writer

Japanese megabank Mitsubishi UFJ Financial Group Inc. $(MUFG)$ will start a new financial service targeting small and medium-sized enterprises as early as this fiscal year, according to sources.

The branchless service will primarily be offered online. Amid intensifying competition for deposits, MUFG aims to attract more funds by improving convenience for customers.

MUFG is targeting such customers as companies that have accounts with the bank but do not have staff dedicated to them. The firms will be asked to open accounts at the bank's digital branch -- created expressly for this service -- to make deposits or payments, or conduct other transactions.

The basic monthly fee for internet banking will be waived, and the fee for transfers to other banks is expected to be set at around 140 yen per transaction -- among the lowest in the industry. The bank is also considering developing an app that allows users to check their accounts and cards across other banks. Additionally, the bank will make it possible for SMEs that do not currently hold an account to open one as quickly as the next business day.

MUFG has also teamed up with a major firm for cloud accounting software, allowing users to open an account and apply to use an accounting app simultaneously. Users can check balances and transaction histories through the app, helping them streamline their bookkeeping and other accounting work.

Competition to secure deposits has intensified since the Bank of Japan ended its negative interest rate policy in 2024. As a result, banks are improving their services for both large companies and SMEs.

In May 2025, Sumitomo Mitsui Financial Group Inc. launched a financial service called "Trunk" aimed at SMEs. The service allows users to complete a set of accounting tasks entirely within an app. In May this year, Resona Bank Ltd. launched a payment system called "FlexPay," which is designed to streamline accounting for SMEs and other clients.

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This article is from The Yomiuri Shimbun. Neither Dow Jones Newswires, MarketWatch, Barron's nor The Wall Street Journal were involved in the creation of this content.

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June 23, 2026 05:43 ET (09:43 GMT)

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