For Shibusawa, ethical capital is literally part of his family lineage. His great-grandfather, Eiichi Shibusawa (1840-1931), founded Shibusawa Zaibatsu and is regarded as the father of Japan’s modern capitalism. He believed in gapponshugi —that capitalism has the responsibility to be ethical. The elder Shibusawa envisioned Japan’s potential as a leader in Asia and globally by blending Western philosophies, technology, and business strategies with Confucian ethical principles grounded in loyalty, service, and transparency. Although Japan’s samurai society had previously considered business to be the lowest rung of the socioeconomic ladder, the Meiji era ended an isolationist mindset, integrating Western influences and elevating the status of business within Japan’s power structure. Eiichi Shibusawa went on to launch nearly five hundred companies in banking, insurance, shipping, railways, electricity, gas, paper, hotels, and textiles, including the Tokyo Stock Exchange and Tokyo Chamber of Commerce, 3 as well as being involved in the establishment of about six hundred social enterprises and initiatives. 4 His motivation was not just about financial results, but rather about nation building. Public benefit was at the center of Shibusawa’s ethical capitalism, which encouraged the role of the jitsugyoka — business leaders who work honestly and diligently in pursuit of public good. Kotaro Sueyoshi, Advisor to Group Chief Sustainability Officer and Managing Director, Sustainable Business Promotion, Mizuho Financial Group, agrees that Japan’s financial institutions are serious about impact. He stated, “I would say the difference between Japan and other countries is that financial institutions are already actively involved in spreading this idea of impact investing—through ESG and sustainable business.” 5 Mizuho Finance Group, a shinise company, has its predecessor bank as the first bank in Japan, with Eiichi Shibusawa being one of its founders. In 2025, Mizuho Financial Group remains among the top global investment banks—operating in nearly forty countries and regions. 6 It is the third-largest bank in Japan with twenty million customers. 7 Globally, its leadership has been recognized in ESG and sustainable finance, gender equality, human rights, and LGBTQ rights, 8 making climate and nature cornerstones of its ESG investing. 9 Sueyoshi believes that impact through ESG and sustainable finance has been mainstreamed by financial institutions, especially those operating globally.
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Ten Years in the Making
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