A Strategy for Resolving Europe's Problem Loans
Shekhar Aiyar (),
Jose M Garrido,
Andreas Jobst (),
Kenneth H Kang,
Dermot Monaghan and
No 15/19, IMF Staff Discussion Notes from International Monetary Fund
Europe’s banking system is weighed down by high levels of non-performing loans (NPLs), which are holding down credit growth and economic activity. This discussion note uses a new survey of European country authorities and banks to examine the structural obstacles that discourage banks from addressing their problem loans. A three pillared strategy is advocated to remedy the situation, comprising: (i) tightened supervisory policies, (ii) insolvency reforms, and (iii) the development of distressed debt markets.
Keywords: Bank resolution; Banks; Debt restructuring; Europe; Non-performing loans; Corporate debt; Nonperforming loans, NPL resolution, credit growth, debt, loans, lending, assets, financial crisis, General, (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-eec
References: Add references at CitEc
Citations: View citations in EconPapers (25) Track citations by RSS feed
Downloads: (external link)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:imf:imfsdn:15/19
Ordering information: This working paper can be ordered from
Access Statistics for this paper
More papers in IMF Staff Discussion Notes from International Monetary Fund International Monetary Fund, Washington, DC USA. Contact information at EDIRC.
Bibliographic data for series maintained by Jim Beardow ().