Shōwa financial crisis

It brought down the government of Prime Minister Wakatsuki Reijirō and led to the domination of the zaibatsu over the Japanese banking industry.

The Shōwa Financial Crisis occurred after the post–World War I business boom in Japan.

Many companies invested heavily in increased production capacity in what proved to be an economic bubble.

[1] Prime Minister Wakatsuki Reijirō attempted to have an emergency decree issued to allow the Bank of Japan to extend emergency loans to save these banks, but his request was denied by the Privy Council, and he was forced to resign.

Wakatsuki was succeeded by Prime Minister Tanaka Giichi, who managed to control the situation with a three-week bank holiday and the issuance of emergency loans; however, as a result of the collapse of many smaller banks, the large financial branches of the five great zaibatsu houses dominated Japanese finances until the end of World War II.