Suryaa Business Desk: A banking crisis has emerged in western Japan following a major technical failure in the central operating network. The disruption has affected 128 Shinkin (cooperative credit) banks, leading to a complete halt of services across approximately 3,430 branches.
Counter transactions, ATM services, and internet banking systems have become non-functional. As a result, customers are currently unable to perform cash withdrawals, deposits, or fund transfers.
Officials have identified a technical fault in the communication equipment at the Shinkin Central Bank - West Japan Center, which monitors the core banking systems for banks west of the Tokai region, as the primary cause. The issue began around 1:30 PM on November 6 and spread to hundreds of banks shortly thereafter. Management has stated that the incident is an internal hardware failure and not a cyberattack.
The disruption has impacted local businesses, small and medium-sized enterprises, and employees who rely on these regional banks for daily transactions, payments, and transfers. ATMs are currently displaying notices stating that services are temporarily suspended.
While the banking network is divided into eastern and western divisions, services in eastern Japan, including Tokyo, remain operational. Engineers are working to reboot servers and restore systems, but bank officials have not yet provided a specific timeline for the resumption of services.