When foreigners visit Japan, one of their most common gripes is the difficulty of obtaining cash from bank machines or paying for purchases with credit cards. Such basic obstacles to their red-blooded desire to spend freely and to spend often have been seen as emblematic of an anachronistic financial system that has simply failed to keep pace with modern times.

Now laggard Japan does not look quite so stupid. Whether by luck or design, its financial institutions have been relatively unscathed by the financial crisis that has felled some of the biggest names on Wall Street. While its adventurous foreign brethren were off on a lucrative, but ultimately disastrous, spending spree, most Japanese banks continued to make the bulk of their money from old-fashioned lending.