25-03-2014, 02:58 PM
Sell off NPL to beef-up the bank balance sheet, is not unique to China banks. The difference is the China's bank loan is "bad" loan, while Europe one's is "non-core" loan...
Europe's banks step up sales from US$3 trillion "non-core" loans
25 Mar 2014 08:52
[LONDON] Europe's banks are set this year to sell a record 80 billion euros of loans no longer part of their main businesses, as they step up sales from 2.4 trillion euros (US$3.3 trillion) of loans deemed "non-core".
PwC estimated on Tuesday that European banks will sell a quarter more non-core assets this year than the 64 billion euros sold in 2013, which was up 40 per cent from 2012.
It said 30 billion of loans had already been sold this year or were in the process of closing. "Bank restructuring will continue over at least the next five years - with activity likely to be fueled by the findings of the Eurozone wide asset quality reviews (AQRs) and stress tests currently underway," said PwC partner Richard Thompson.
Europe's banks have been selling loans to shrink balance sheets that were bloated during the run up to the financial crisis. Many have restructured and separated businesses and loans they no longer want.
...
Ref: Business Times Breaking News
Europe's banks step up sales from US$3 trillion "non-core" loans
25 Mar 2014 08:52
[LONDON] Europe's banks are set this year to sell a record 80 billion euros of loans no longer part of their main businesses, as they step up sales from 2.4 trillion euros (US$3.3 trillion) of loans deemed "non-core".
PwC estimated on Tuesday that European banks will sell a quarter more non-core assets this year than the 64 billion euros sold in 2013, which was up 40 per cent from 2012.
It said 30 billion of loans had already been sold this year or were in the process of closing. "Bank restructuring will continue over at least the next five years - with activity likely to be fueled by the findings of the Eurozone wide asset quality reviews (AQRs) and stress tests currently underway," said PwC partner Richard Thompson.
Europe's banks have been selling loans to shrink balance sheets that were bloated during the run up to the financial crisis. Many have restructured and separated businesses and loans they no longer want.
...
Ref: Business Times Breaking News