ECB has asked banks to fully cover impaired loans by around 2026 -paper
Reuters
Published Jan 15, 2019 03:01AM ET
ECB has asked banks to fully cover impaired loans by around 2026 -paper
MILAN (Reuters) - The European Central Bank has asked lenders it oversees to put aside more money to fully cover their impaired loans by around 2026, Italian newspaper Il Sole 24 Ore reported on Tuesday citing a source.
The report focused in particular on Italian banks, saying the country's lenders were burdened by the highest amount of impaired loans in Europe.
The banks would not have to comply with the regulator's request if they were able to explain why they cannot, the paper said.
On Monday shares in Italian troubled lender Monte dei Paschi di Siena (MI:BMPS) fell more than 10 percent after it said the ECB had told to increase cover for impaired loans by 2026.
A request to apply the rule to existing loans was unexpected, analysts said on Monday.
Get The News You Want
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.