Thank you, ladies and gentlemen, for joining us today. Allow me to start my presentation. The cover page, I think you are familiar with this. If you could please move on to page three. We have just completed the first half of the medium-term business plan. In terms of financials, the final target for FY 2025 was exceeded ahead of time. Strategy, we said that we are focusing on sustainable growth, and we're making growth investment in five areas, Greenhill, Rakuten, and Golub Capital and Rakuten Card that we announced the other day. The environment surrounding us is difficult, we need to strengthen our infrastructure and raise efficiencies. In terms of cost reduction, that is important. Products and services need to be reinvented. That is what we're continuing. Systems failures, we have learned lessons we should never forget, we're ensuring operational stability.
We need to raise motivation of our employees. We have shifted to a new HR framework, CANADE. We have completed the transition, and we're starting to fine-tune the system. Purpose, started in March 2023. We're trying to embed that, and trying to reform our culture as well. This year, CEO and three with the heads of departments, we have done 416 town hall meetings, visiting 322 sites in one and a half years. Page four. Having said so, there are still remaining challenges. PBR as of end of October, 0.79. Right now it's 0.86 or so. We need to continue with the solid growth and ensure trust from the market, stability of revenue, and competitive edge. These need to be appealed to the stakeholders. Optimal balance between growth investment and shareholder return. From that perspective, I would like to explain four things.
Number one, solid financial progress in the medium-term business plan. Number two, in order to achieve a stable growth, we have been pursuing distinctive business portfolio. I'm sure you are aware of this, we would like to explain this once again. Number three, initiatives to raise our competitive edge progress as well as challenges. Number four, effective use of capital. Moving on to page six. This is something that we show every time, I don't think I need to explain this. Moving on to page seven. Achieving steady profit growth. We believe we have been achieving that. There's revenues and banking, in areas of focus, I think we are achieving solid growth. Given that, we are having a forecast of net business. Profit for FY 2024 of JPY 1.17 trillion, up JPY 100 billion. Key progress and focus areas.
Number one, AUM, increasing consulting capabilities. AUM is steadily increasing through consulting capabilities, expanding product lineup. We have also made additional investment in Rakuten Securities for the future. I think we have come to a major turning point for the corporate sector. I think the mindset of CEOs in Japan is changing, not just among blue-chip companies, but SMEs as well. In that trend, awareness for the need for growth, we have to also respond to TSE reforms. I think that momentum is rising. Amidst that circumstances, for large companies and SMEs, we need to capture a need for corporate action. Overseas, we need to raise profitability and diversify our revenue sources. That's what we're continuing with. Greenhill, in December last year, we have completed acquisition of Greenhill. In many ways, many synergies and many collaborations are happening with Greenhill.
On to page eight. Improving asset profitability, we talked about that. In the first half this year, I think we have been able to make steady progress. On the right-hand side, low profit deals, JPY 1.1 trillion reduction, and high profit business, JPY 1.6 trillion. As a result, ROA is up from 3.1%-3.3%. In three years, the reduction of JPY 300 billion in cost shareholdings. We have come to JPY 183.3 billion in the first half. We're making good progress, and as is on lower right. For Employee Retirement Benefit Trust fund, we achieved a reduction of JPY 200 billion. The numbers themselves, overall, I think we have been able to meet the targets ahead of time. We're putting together our plans and numbers for the next three years. For cross-shareholding targets, we're also going to consider them.
Page 10, about cost, expenses, strengthening governance, and renewing infrastructure expenses Are on the rise inevitably. As I will discuss later, various products and services are being renewed, and we are constantly engaged in cost curtailment and reduction. We have to make investments into human resources. That is a must, and wages are rising. We will have to go along with the trend. We have to continue making investments into human capital. We will reduce the parts where costs can be reduced to control expenses. Next, on distinctive business portfolio, page 12. This is the overall business portfolio. Once again, we're showing this to you for your review. On the left-hand side, this is the breakdown of net business profits. Compared to before, we have reduced the dependence on our banking revenue. We're now steering the portfolio toward one that is centered around customer business.
In terms of exposure in customer business for both Japan and overseas, our business, majority of it is IG, Investment Grade. For Japan, I think it's very important to control large transactions, large customers. For transactions with problems, our MS, well, as credit analysts, need to collaborate with each other to achieve debt governance. As a result, some companies have improved quite substantially. We will continue with that effort. Page 13, diversifying the core business profits. As you know, under NIRP, we have made various efforts to diversify our revenue sources. We have broke it down between Japan and overseas. For interest income, we will drive a return. That's what we've been doing, and non-interest income to be grown for both Japan and overseas. That's what we've been doing. Sales and trading is being expanded.
What is said to sales and trading, I would like to discuss in detail later. Moving on to page 14, business portfolio in Japan. This may be the first time for me to show this to you in such an exclusive fashion. 70% of our domestic business is a large corporate business. On the right-hand side, income, non-interest income, S&T, sales and trading 10%, interest 40%, non-interest 50%. It's diversified for non-interest income transactions, credit related fees, and IB real estate. They're broken down into these three, 1/3 each. Relatively speaking, we have a stable income source. You may think that there are more large transactions, but each year they account for about 5%. In that regard, I think we have enabled to build a very stable revenue structure. Moving on to page 15, which is about overseas. On the left-hand side, regional breakdown.
Wallet share is largest in Americas, where we focus on most. In EMEA, we are trying to achieve efficient operations, it has become somewhat smaller. Looking at Americas, well, if you could look at the right-hand side, there is a breakdown of the structure. Interest income, non-interest income, and secondary, S&T, 1/3 each. From your perspective, you may think that sales and trading volatility may be high. Perhaps that may be your awareness. As a component of the revenue, fee, flow, and financing, we are distributed among these. We are not depending solely on a flow business. When volatility is down, income from flow reduces. When volatility is down, primary increases. At any rate, we are not depending just upon the flow business. As far as fees, we are leveraging our derivative business and risk solutions for corporates.
For example, Americas are focusing very much on those areas, at the same time, Americas' capabilities are now being utilized increasingly in Japan of late. Financing. We would like to utilize our balance sheet efficiently while rolling out our finance business. Striking the right balance among three segments, that is the kind of revenue structure that we have. Page 16, bond portfolio. As far as JGBs, as is on the left-hand side, duration is 0.6. We continue with our conservative management of JGBs. At what timing the interest rates may rise? How much would the rates go up? What is going to be the terminal rate when it is very hard to have an outlook? Therefore, given these circumstances, I do not think that there is a need to extend the duration of our bond portfolio. We are in a wait and see mode.
We are trying to explore what is the best timing to enter, if you will. For Overseas or foreign bonds. The last term, we have slightly increased our balance for foreign bonds. HTM, we have increased the balance in FY 2023 as a result. Even if rates move overseas, we are less susceptible from the impact from that. That is the structure in place. With the reduced rates, the spread goes down. But with the HTM balance that we have, we are able to gain from that. I think that we have been able to build a strong portfolio. Summary is on page 17. In terms of the business portfolio, as is on the left-hand side, the majority is IG. Large transactions are watched and revenue sources are diversified, and we have been able to focus on non-interest income under NII.
Where there is positive rates, there is going to be an upside to be had. On the right-hand side, external environment. With the static basis point, with 10 basis point increase, a gain of JPY 50 billion can be enjoyed. As I said, FRB rate cut is going to have very little impact on our business. For overseas, centering around Americas markets, we have our own business model. Our philosophy basically is to have in-house capabilities that are required and pursue synergies amongst our own capabilities. That is our approach. In the earnings presentation, there was a question about forex impact. When yen depreciates JPY 1, JPY 4 billion impact on net business. Profit JPY 3 billion on net income, almost no impact in terms of CET1. Next, enhancing our competitive edge, if you could please have a look at page 19.
Inclusive of the issue of sustainability, basically in four areas we're very much focused upon. In each area for the challenges that we have, I would like to explain the progress, as well as the challenges. One is to offer customer experience and asset wealth management in Japan. Rakuten Card that we announced yesterday is about improving customer experience, and Rakuten Securities is for doubling the asset income or to offer asset wealth management service in Japan. Number three and number four, enhancing the competitiveness of Japanese companies and global CIB business model. This is where our strength lies, I would like to give you details later. Moving on to page 20. In the retail area, what is the progress and the challenges? That's what I would like to explain. We're going to pursue customer experience thoroughly.
We are transitioning into new types of branches and utilizing AI. We are building next generation contact centers that are up as from August, and improved application UI/UX as well as launch digital marketing infrastructure. New account openings before and after the mid-term business plan is up by 10% compared to before, and direct up MAU is up by 50% as well. We will continue to create new channels going forward. What we announced yesterday, collaboration with Rakuten Group, we will deepen that, and deliver results, which is going to be important. With asset management service, we will capture a new NISA business. We are driving AUM through that. Retail AUM is up by JPY 4.9 trillion, and NISA accounts have increased by 120,000 accounts. Asset Management One AUM capability is up, but we're working on that. Its AUM is up by JPY 7.6 trillion.
This area, however, has many challenges, which I would like to explain later. Moving on to page 21. Thorough pursuit of customer experience, disciplined investment framework. We will create optimized channels, strengthen data analytics, and have operational cost reduction. Depreciation required for investment needs to be funded by cost reduction. What to do with that? Continuous process of review for products and services, digitization. With respect to branches, we're making the branches smaller, to drive the cost of branches down. With respect to people, of course, we are able to reduce operational burden. Rather than cost reduction, it's more about productivity enhancement. We will focus on marketing, reskilling. We will use people at the front office. LPAs are also increasing in number, Life Plan Advisors. Page 22. This is our strengthening channels.
For the branches, the customers who come to branches need to feel at ease having casual consulting. Traditional branches are very formal, perhaps difficult for some customers to access, and we call it Mizuho Atelier. Yokosuka, for example, within the mall of Yokosuka, we have set up this new type of branch. Remote contact centers, we are utilizing AI, which started in August. Thankfully enough, they are working quite well. We are able to save customers time spent on chat by 10%. UI/UX in the digital world, we are going to appraise the grade at which we are continuing. Website was renewed, and we received a high evaluation. It ranked number one among mega banks. When it comes to UI and UX, Rakuten is excellent. With a new collaboration with Rakuten, we would like to enhance that. We are having digital marketing.
We will be starting something new in March next year, a new membership program. I think you have seen the details for Rakuten Group collaboration, and I will now go into details on page 24. 20% investing into Rakuten Securities. We have been collaborating on various fronts. Top executives at the securities level are collaborating. We're deepening our relationship, and has increased to 49% in stake. We're seeking how we can contribute even further, and that has led to our announcement yesterday. Please turn to page 25. This is operational reform. Reviewing, consolidating, and digitalizing processes for improved productivity. We want to go thoroughly. Cost must be efficiently paid, but productivity labor force is going to increase, therefore, we will need to address that. Products that are handled in sales and branches are going to be revisited.
Processes that are depending on manpower also will be reviewed. There are a lot of exceptional initiatives that are taking place at the bank level. There are negotiations with our clients, and therefore it's really hard work, but the administrative divisions are taking the lead in negotiating with our clients. For example, in FX, there are numerous exceptional initiatives that are taking place. There are one-on-one negotiations that are taking place with the clients, and we're seeing good results. Digitalization, AI is being utilized. Contact center, we've already talked about that, but we want to go further, and AI OCR will be installed. Next, on page 26, asset and wealth management in Japan. In this area, within bank and securities, another level of collaboration and fund wraps are increasing as a result of that.
In terms of asset management capabilities, there's the institutional funds and collaboration with Golub Capital. There are things that we're already seeing up and running, but compared to the market, I think there's more that we need to do. Nomura or Daiwa, if we compare with other peers, there's a lot more that we need to do, and therefore we need to strengthen this area, which is extremely critical. Consulting capabilities, this has to be enhanced. Skill sets of RM will need to be sophisticated, and asset management, one, and the missing parts will have to be addressed. Now, if you could turn to page 27. Enhancing the competitiveness of Japanese companies and global CIB business model, this is an area, I think, where our strengths are being leveraged. Starting from the top. Various corporate actions are done proactively to enhance companies' competitiveness.
Startups, we're taking a lot of actions on this front. Value co-creation investment is a concept that is used, and we're also issuing syndicated loans and also supplying risk money, for example. This is an area where clients' business successions is extremely critical, and therefore by leveraging the competitive edge in real estate and succession planning and trust bank, we're making use of this. We're seeing 63% in the pipeline. What we're doing today will be continued, and also Greenhill has been consolidated, and we will strengthen our collaboration with Greenhill. Low profit assets are being divested, and the spread has been improved by 13 basis points, and we will continue to increase the CIB market share. The league table-wise, we're as high as 15. In EMEA, efficient operation is key.
Universal bank, creating universal bank, and some branches are being closed. About three entities have been closed already. In relationship, we will be exiting from areas where we are not seeing returns. Continued effort in terms of improved profitability, and we will be utilizing our cooperation with Greenhill & Co. Some examples are on page 28.
These are big caps. It says Honda on the side, but our strength is in auto industry. We have the analytical capability through the industry research section to be able to analyze the auto industry. Bank and securities are collaborating on this front. We will make proposals, and this proposal-making capability is our asset, and that has led to the deal with Honda. As for Japan and U.S. collaboration, this is all about Greenhill, Apollo Global Management, Wheels is a company, and Marubeni has acquired the business. It has led to that kind of initiative.
Mid-cap companies, this area is also quite hot. Mid-cap companies have to transform themselves, and we are approaching that, providing solutions, and the pipeline has increased by approximately 60%. Towards the second half of the year, we should be able to close some of these deals. I am counting on that. On the right-hand side, you can see fee income for IB, DCM, 11%, ECM, up by 75%, and average balance is also increasing for mid-cap. Page 29, sustainability.
In terms of finance, JPY 100 trillion, we are around 34, and I think we are steadily building up our track record. In sustainability, we have announced the areas that we are focusing on as a first mover. I think we are making progress in various initiatives. For example, JPY 2 trillion in financing commitment for hydrogen. We are seeing an increase in share in upstream project finance opportunities. Bottom left, strategic investments. Zap Energy.
This is for nuclear fusion power. You might be wondering when this will become available. This was really a big success because as a result of this, a lot of different companies are approaching us, talking about Zap, and they wanted us to refer them and introduce them to Zap Energy, and I think it is going to lead to new business. This is quite typical of Mizuho. It is not that it is going to generate profit in the short run, but the fact that taking on new challenges like this is quite typical and distinctive of us. Pollination. This is an advisory business and sustainability area. We also invested in this company. You might not be familiar with this company, but for various institutional organizations, it is offering solutions and also for Japanese companies to transition to carbon neutrality, coming up with a plan, a strategy.
They are providing advisory in this area. I think it will contribute to us enhancing our own capabilities. Page 30 is for the Americas. I think we are building a nice cycle. Top left is what we have done so far. Products capability, we want to increase it. I think we have come a good way, but we still need to work. As a result, league table in the United States has gone up to 15, including sales and trading, and wallet share is rank 12. We want to further pursue these initiatives. The one person is head of Mizuho Americas. As a result, bottom left, 300 people, job offerings are made. This year, we got 90,000 job applications, which is quite big.
For interns, 7,200 applications for our intern positions were seen in summer of this year. Therefore, we are able to have access to really capable people. Page 31 is on Greenhill. Gradually, integration is making progress. Greenhill, not standing on its own feet, Greenhill is going to be built into our platform. In banking in the United States for example, general managers will have a Greenhill person as a general manager and so forth. Global co-proposals are being made. 1,400 approximately joint proposals are made together with Greenhill, of which 200 are being considered. There are about 250 or so, we have 44 in the pipeline, of which five are Japanese corporates. Bottom right, these are deals that have been closed. Page 32, including Greenhill. This page explains our position in the league table in Global CIB.
In terms of global, we are number 14. Amongst Asia financial institutions, we're number one. This is our position. We want to maintain a position. Therefore, nurturing our international talent will be key. Page 33. I have so far covered our business. I also want to talk about culture. We've been working on transforming our culture. This is a document that recaps the past. I am going to therefore not go into details here. Page 34 or page 33, still on CANADE. The key here is for each and every individual feel a sense of fulfillment and be able to work with a sense of rewarding. The HR system that we had, a seniority system, we want to break free from that kind of system so that we can face each and every employee.
Instead of membership, we're shifting to job style challenges. Basically the way in which HR is done, is left to the line of business. Management resources is something that I would like to pursue. 70% of the people seem to be happy with the initiatives. Page 35, culture transformation. Dialogue between management and employees is ongoing. As for myself, in the first half of the year, 61x I attended roundtable meetings and town halls. Supporting bottom left, the supporting self-driven endeavors, Mizuho Award. There's a long history for Mizuho Award. Large transactions tend to be receiving the award in the past. Selecting projects that support and streamline business as well. Supporting Nadeshiko Japan, for example, top right. Creating a supportive working environment to ensure that employees are engaged and motivated.
Lastly, not least, I want to talk about effective use of capital policy. Yesterday, share buyback resolution has been announced. Pursuing the optimal balance among capital equity, adequacy, growth investment, enhancements of shareholder return, this remains intact. One ratio is 25%. We therefore have enough capital. In that sense, so far, we've been focusing on capital adequacy. The investment for growth and shareholder return, striking a good balance between the three, is the new phase in which we are gradually transitioning into. Page 38, growth investments with discipline. Of course, this will be maintained. Especially alignment with strategy, profitability. Especially whether there is a cultural fit. This, I personally feel, is critical. Page 39. As I said, shareholder return policy remains unchanged. Progressive dividends are our principal approach, while intermittent share buybacks will be considered.
When it comes to share buyback, our performance, capital adequacy, stock price, and opportunities for growth investment will be taken into account comprehensively. PBR is still below 1x, and therefore it makes sense to do share buyback. The management team is fully aware of that. Page 40. This is something that we announced already yesterday, JPY 130 of a dividend and share buyback of a maximum of JPY 100 billion has been reached a resolution. Page 41 and 42. Net income has gone up. ROE has also gone up. We also want to increase ROE to a new level. For EPS, of course, this requires improvement. We are fully aware of that, and that is how we are running the company with that mindset. Again, page 42, this is the last page of my presentation.
With the progress in our midterm business plan, we are seeing solid financial progress, more stable growth should be achieved through our distinctive business portfolio and progress in initiatives enhancing our competitive edge. Of course, there are challenges with regards to investment and asset management, but we have seen progress. We are also receiving very happy recognition. Forbes Japan recognized us as one of the new best companies shaping the future with multi-stakeholders. We're ranked seventh. Time World's Best Companies of 2024, Time would select 1,000 companies, we were ranked 83.
With the increase in revenue, initiatives, and sustainability and employee surveys. This ranking depends on these three factors, we were ranked 83. I'm not trying to emphasize this too much, amongst the Japanese, we were the only one within 100. As a banking institution, above us is JP Morgan, Citi, and only maybe five or six companies above us. Maintaining this position is going to be very challenging, we're very happy for this recognition. Now I want to close my presentation. Thank you very much.