MITSUBISHI UFJ Financial Group yesterday added to the cautiously upbeat mood among Japanese banks, saying it expected to generate a net profit of 300 billion Yen (€2.27 billion) this year.

Japan’s largest banking group, which splashed out $9 billion (€6.6 billion) for a 20 per cent stake in Morgan Stanley, became the latest among the country’s larger banks to forecast a return to profitability, after a 256.9 billion Yen loss in the year to March 31st. This month, Mizuho, the number two bank, and Sumitomo Mitsui Financial Group both forecast modest net profits this year, after unveiling huge losses amid the economic downturn. – (Copyright The Financial Times Limited 2009)