Dialogue between
Chairman andOutside Director

Yukio Murase
Juroku Financial Group
Representative Director andChairman—Aiming at Sustainable Growth Together with the Region—

Satoko Ito
Juroku Financial Group
Outside Director

industries may have slightly lagged behind that of other regions. If

that should be inherently valued are underrated at home. However, I

this sector develops in this region as well in the future, I’m sure that

am hopeful that a fresh appreciation of such products overseas will

the region will become even more attractive.

lead to a renewed assessment at home.

Ito: I feel that this region has many companies that have been

Yukio Murase (Chairman and Representative Director) and Satoko Ito (Outside Director) had a dialogue session rediscovering the appeal

operating for more than 100 years and still are active on theof Gifu and Aichi prefectures, the operating base of the Company, as well as the issues that the region faces and their future outlook.

frontlines. I feel that these companies have flexibility as they
continue to take on new challenges in line with the changing times

Ito: Although the shrinking population has become a social issue, I

while inheriting tradition.

am concerned about overconcentration in Tokyo especially as many

Murase: Director Ito was appointed as an Outside Director of The

appealing in this region?

Murase: There was an announcement that indicated the strength ofyoung people are looking to go to Tokyo. I feel that Japan’s future isJuroku Bank in June 2020. Also, as Outside Director of the Juroku

Ito: I feel that this region plays a huge role as a manufacturing basesmall and medium-sized enterprises in Gifu Prefecture. “TAKUMIin danger if nothing changes. The more young people gather in

Financial Group, Director Ito has given appropriate advice, includingthat supports Japan’s industries. I’m also paying attention to tourism.

NEXT 2021”, organized by JETRO, aims to support theTokyo, not only the rural population but also the population of Japan

her thoughts from a fresh perspective that we did not realize, since

A visit to Takayama, Shirakawa-go and Gero shows that the local

development of overseas sales channels for excellent domestic

as a whole will continue to decrease. I think that their values need toOctober 2021. As a result, lively discussions were held at meetings ofpeople properly pass on the good old assets of the region to future

products. Out of the 155 companies that were selected throughoutchange so that they will find it appealing to work and live in their

the Board of Directors.

generations under a clear policy. That is where I feel the spirit ofJapan, 16 were companies based in Gifu Prefecture, making up therespective regions without looking to go to Tokyo and be able to say,

Ito: Two years have passed since I decided to take office after beingdeveloping new ideas by studying the past.

largest number. This number was more than the 15 Tokyo-based“I am happier living this way. ” Amid these circumstances, COVID-

asked to express my candid opinions. The opinions I gave on

Murase: Many people often say, “Gifu and Aichi prefectures arecompanies and 10 Osaka-based companies that were selected. The

19 broke out and made us reexamine the living environment whichcountermeasures against global warming and other matters atattractive. ” Not only large enterprises but also small and medium-

person in charge at JETRO was surprised at how enthusiastic thewe had taken for granted.

meetings of the Board of Directors were immediately used andsized enterprises have advanced technological capabilities. I thinkbusiness managers in Gifu Prefecture were. I felt very proud that

Murase: I feel the same way. Overconcentration in Tokyo has been

adopted, and I felt how speedily and effectively the Board ofthat people are attracted by the region’s distinctive characteristics

companies that are being forced to change their business model amid

actively discussed for some time now. It was very difficult to change

Directors operates.

coming from the concentration of companies that support

the COVID-19 pandemic are constantly exploring what they should

the perception of young people in rural areas that Tokyo is solely

manufacturing. This region has developed and grown mainly in thebe doing and continuing to take on challenges.

attractive. The outflow of population from rural areas to Tokyo did

manufacturing industries such as automobiles and aircraft, in

Ito: That is wonderful. There is probably that kind of DNA in thisnot change easily. I feel that COVID-19 prompted a change in

addition to traditional textiles, ceramics and cutlery. On the otherregion. I feel that the good old products that have been inherited invalues.

Murase: The Company does business with many customers withhand, because of the strong performance of the manufacturing

Japan, as well as products and services that have been refined by

Ito: Although this situation is not something that had been wished

Gifu and Aichi prefectures as its home. Is there anything you findindustries, the growth of tourism and IT, startups and other tertiarytechnique and knowledge, are highly competitive. I feel that things

for and turned out to be like a drastic remedy, it made us become

The Appeal of Gifu and Aichi

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Regional Issue —Overconcentration in Tokyo—

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aware of the risks of the so-called three Cs (closed spaces, crowded

Regional Issue —Gender Gap—

Initiatives for Diversity

Murase: The Company, too, regards initiatives for sustainability as
an important issue for management. In addition, we need to become

places and close-contact settings) which we had not given muchthought to. That prompted us to ask ourselves again whether weIto: The migration of the population from rural areas to Tokyo is

Ito: I am paying close attention to the Company’s initiatives foran entity that helps regional companies specifically put into practicewant to live the way we have, including the struggle of commuting

seen most conspicuously among young women.

diversity. I find the initiatives to support the active involvement of

the concept of and initiatives for sustainability.

to work every day in packed trains and dealing with high housing

Murase: Juroku Research Institute Co., Ltd., a Group company,

women by “Jewelia”, the Company’s product and serviceIto: The Company also offers appropriate consulting oncosts. The pandemic marked a major turning point in the value of

published a proposal document entitled “Rural Areas Preferred bydevelopment project team consisting of female staff, and thedecarbonization, but many small and medium-sized enterprises say

moving to Tokyo.

Women” in April 2022 with a focus on the gender gap in rural areas.

initiative to have many women play active roles on the frontlines inthat they still do not know what specifically they should start with.

Murase: As a result of COVID-19, remote work became widespread

As pointed out in that document, in terms of the Gender Gap Index

the field of asset management consulting, which aims to protect

In the Prime Market, since strict decarbonization initiatives will berapidly. Owing to working from home, the work style of not limiting

2021 announced by the World Economic Forum, Japan ranked 120th

customers’ assets in bank operations, to be wonderful because theyrequired going forward, small and medium-sized enterprises that do

the residence has been increasing steadily mainly among large

among 156 countries (March 2021), coming in last place among theare forward-thinking and distinctive.

business with large companies listed on the Prime Market need tocompanies. It is becoming possible to work for a company located inseven developed countries. The reality is that there is still a genderMurase: I am glad that women in the Group are playing active roles.

anticipate that they will be required more than ever to takean urban area while living in a rural area. The available options are

gap in rural areas.

I am intent on improving the organization to further enable womendecarbonization initiatives. We must prepare for the risk that

Ito: I see. I feel that until recently there was this idea that the mostto play active roles through proper communication so that womenbusiness transactions will become difficult in the future if we fall

important job for women was to get married and have children. In

actively working on the frontlines are made known internally andbehind the curve.

addition, the notion that women should work a little and concentratealso recognized externally very well.

on taking care of children after bearing children was probably theIto: The Group has adopted the customer-first marketing strategy as

mainstream way of thinking. The Japanese education system provides

one of its management strategies. Although this may be my own

an environment where male and female students truly have equal

theory, I believe that this area is women’s field of specialty because

opportunities to receive an education. On the other hand, even if

women have a disposition suited for market-in. I think they are good

women enter the workforce and work like men, and have the sameat handling tasks with empathy from the customer’s viewpoint.

aspirations and dreams as men have, there were times when, for someMurase: In the customer-first marketing strategy, we engage inreason, they had their path cut off for just being women.

consulting to realize lifelong trading relations. I say this again, but

Murase: As you pointed out, a look at the Gender Gap Index by

we need to create an organization that can make people within andcategory shows that while the gap was small in health/education,

outside the Group aware of the active involvement of women in theindicating fairness, the score was extremely low in economy/politics,

Group. I feel that more women will be appointed to seniorhighlighting the current situation in which there is a wide gap

management positions such as officers in the future at Groupbetween men and women.

companies as well.

Ito: The low score in the category of economy/politics suggests that

Ito: I am looking forward to that.

women have difficulty or are unable to play an active part in society. I
think that the way things are now, highly motivated young womenInitiatives for Sustainability

feel that, since the gender gap is smaller in Tokyo, they will be able10

to have more life opportunities and get closer to their dreams if they

Ito: Amid rapidly changing circumstances such as the post-increasing, and the disadvantages of living in rural areas are

go to Tokyo.

COVID-19 pandemic and the invasion of Ukraine, there is an

becoming fewer and fewer. In rural areas, we need to take advantage

Murase: In the World Happiness Report as well, released every year

emerging risk that resources will not be available mainly due toMurase: We believe that the provision of comprehensive financialof this opportunity and take initiatives and build systems to makeby the Sustainable Development Solutions Network (SDSN), a UN

soaring resource prices and supply chain disruptions. It is necessary

services by the Group that have the potential of achieving sustainable

working, raising children, and getting an education in rural areas

agency, Japan ranks 54th out of 146 countries (March 2022), lower

to have a system of circulating products and materials domestically as

growth by demonstrating comprehensive capabilities and making use

appealing. In particular, it is vital to create attractive jobs.

than other developed countries. I believe that there is a link between

much as possible, including reusing waste, etc. and utilizingof the potential of Gifu and Aichi prefectures will lead to “achieving

Ito: It is now possible and common to lead a work style of going to

the Gender Gap Index and the World Happiness Ranking, and thematerials that return to nature based on the concept of a circular

growth and prosperity for our customers and the local community,”

Tokyo or overseas on business trips for two or three days a week while

gender gap needs to be eliminated in order to enhance happiness.

economy. As the socioeconomic system is reviewed drastically,

which is the mission of the Juroku Financial Group.

living in a rural area. Many jobs can now be completed as long as

Ito: Women are seeking an environment where they can work

regional and local companies will no doubt have a greater presence in

Ito: I think it is important that, as a regional financial institution,

there is a digital environment where people can work. All thanks toenthusiastically with a sense of fulfillment, and bear and raisethe eyes of urban companies.

the Group properly plays the role of guiding regional small andtechnological advances.

children with peace of mind. All of these factors need to be met for

Murase: Ito-san has expressed her opinions regarding the policy on

medium-sized enterprises and supporting them so that they do not

Murase: Even if one works in a rural area, progress in digitalization

women to find the region attractive and live there. The disappearance

sustainability and carbon neutrality at meetings of the Board offall behind the curve. I will do my utmost to support the sustainable

has made it easy to be connected to the city center and the world.

of women from a rural area means that a rural area will become a city

Directors as well.

growth of the Company and the region by leveraging the years ofWith the option to work in the office or via an online system easily

at risk of disappearing. When thinking seriously about the active

Ito: Up to now, sustainability had a somewhat mandatory aspect andexperience and knowledge I gained from having been engaged in theavailable, the image of working in the rural area has changed

involvement of women in the workplace, the common work style ofhad become a CSR-type initiative. However, in today’s society,media business and regional revitalization.

considerably from the past.

working long hours needs to be changed inevitably. The provision ofsustainability lies at the heart of the growth strategy of eachan environment that empowers women would actually increase jobcompany. Companies have substantially changed their way ofsatisfaction among men as well. And if satisfaction rises among boththinking as they now see linking sustainability to a businessmen and women, they will have a happy family life. This is the kind

becoming the strength of that region and the growth engine ofof virtuous cycle we should be aiming for.

sustainable companies.

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