EBRD blog European Bank for Reconstruction and Development

Tag: banks

Hungarian Deleveraging: What Do Bank CEOs Tell Us?

Hungary has been hit hard by the recent wave of bank deleveraging: credit to households and enterprises contracted more than in most other EBRD countries. Why? Three reasons spring to mind.

First, recent BIS data show that –together with banks in Slovenia and Croatia– Hungarian banks experienced the most severe reductions in funding from foreign creditors, including their own parents.… Read more

Stress testing of banks and policy implications

Recent stress tests, while admittedly not perfect, have proven useful to bring a degree of clarity over banks’ portfolio quality. When backed by credible financing plans, the tests have helped confidence in battered banking sectors. In Europe two major regional exercises are under way: a CEBS-coordinated and nationally-implemented testing of the largest EU-based bank groups, and a regional exercise by the IMF, both with expected results around September.Read more

In defense of foreign banks

‘Banker’ has recently become somewhat of a dirty word and ‘foreign banker’ a most reviled sub-species. Over the last months foreign banks have, amongst other things, been accused of abandoning some of the emerging markets that have contributed so much to their profitability over the last decade.… Read more