Non-performing loans – banks need to mitigate the risk of potential losses

Industry News | 14/03/19

The European Parliament has adopted its position on the proposed Regulation for standard minimum loss coverage for non-performing loans. Measures to mitigate the risk of possible, future, non-performing loans (NPLs) accumulating due to the recessions brought about by the 2008 financial crisis were approved by the Parliament, with 426 votes to 151 and 22 abstentions. The text Regulation has been informally agreed with the Council of the European Union . Following formal agreement, it will enter into force on the day following that of its publication in the Official Journal of the European Union.