Tsutsui Yoshinobu, former chair of Nippon Life Insurance, has been appointed as the new chair of Keidanren, Japan’s most prominent business lobbying organisation.
His appointment marks a shift in the group’s leadership tradition, as Tsutsui is the first to come from a financial institution rather than a manufacturing background.
Effective May 29, Tsutsui begins his tenure at a time when the role continues to serve as a key link between the private sector and government policymaking, according to a Nippon report.
Tsutsui, who stepped down from his leadership post at Nippon Life to take up the new position, will serve a term of four years, divided into two two-year periods.
Traditionally, Keidanren chairs have emerged from listed manufacturing giants.
According to the Nippon report, Tsutsui breaks from this convention not only by coming from the finance sector but also by having led a mutual company – Nippon Life – where policyholders are members rather than shareholders.
His corporate career includes his 2011 appointment as president of Nippon Life, during which he directed the firm’s acquisition of Mitsui Life Insurance in 2015, now operating under the name Taiju Life. He was elevated to chairman in 2018 and joined Keidanren’s executive board as vice chair in 2023.
In 2024, Tsutsui was appointed to lead the GX Acceleration Agency, a government initiative focused on energy transition and decarbonization.
Tsutsui’s elevation coincides with challenging conditions for life insurers in Japan, where rising domestic interest rates have contributed to steep declines in the value of long-term government bond holdings.
For the fiscal year ending March 2025, Nippon Life reported unrealised losses of approximately ¥3.6 trillion (around US$25 billion), along with ¥500 billion in realized losses due to bond sales.
Meiji Yasuda Life Insurance also recorded a substantial increase in paper losses, which grew to around ¥1.386 trillion (US$9.7 billion) from ¥161.4 billion the previous year.
These losses have prompted both insurers to reconsider their investment strategies, particularly with regard to government debt. Long-duration bonds, typically used to match long-term insurance liabilities, have become more volatile as interest rates rise.
Executives from both firms have indicated a shift in asset allocation strategies.
Nippon Life said it plans to reduce its purchases of government bonds in the current fiscal year to better manage interest rate risk.
A representative from the insurer noted that the adjustment aims to create “a more stable asset profile in response to ongoing market conditions.”
Meiji Yasuda is undertaking a similar review, signalling potential changes in how it allocates capital across fixed-income and alternative assets.
