Japan's banking industry is moving towards greater digitalization by bringing businesses onto an electronic settlement system and stop issuing checks and bills.



The Japanese Bankers Association says it will make the change in April 2027.



The government has called on the industry to transition to digital settlements to speed up transactions.



A system introduced after a clearing house for physical bills and checks was closed in 2022 uses images of bills and checks instead. This will be ended in 2027.



A number of financial institutions plan to stop issuing bills and checks.



The association notes that companies and banks will still be able to directly exchange existing bills and checks after the transition.