Japanese Banking Giant Pledges to Lead Reform

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Tokyo (Reuter) - The world's largest bank was yesterday born in Japan, and pledged to act as a stabilising force in the nation's shaky banking system and lead reform of lending practices in the industry.

Tsuneo Wakai, chairman of Bank of Tokyo-Mitsubishi, said his bank would use its position to help ensure that the excesses of Japan's late Eighties "bubble economy", which saddled banks with huge debts from over-aggressive property lending, were not repeated.

"The banking industry must change its behaviour, such as lending heavily to a single sector or doing things just because other members of the industry have done them," Mr Wakai said. He added: "We must …