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Guidance to banks on non-performing loans

ECB Banking Supervision, (2017), “Guidance to banks on non-performing loans”, ECB, Μάρτιος

A number of banks in Member States across the Euro area are currently experiencing high levels of non-performing loans (NPLs). There is broad consensus on the view that high NPL levels ultimately have a negative impact on bank lending to the economy1 , as a result of the balance sheet, profitability, and capital constraints faced by banks with high NPL levels.

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