Sentences with phrase «losses on bank balance sheets»
It suggests that China has overinvested beyond its capacity to utilize these investments economically, and so there are hidden losses on bank balance sheets created by the failure to write down physical capital to its true value.
http://carnegieendowment.org/ Not exact matches
By historical standards, this implies sustained double - digit losses on bond holdings, subpar growth in developed markets, and balance sheet risks for banking systems with a large home bias.
There is now significant pressure on banks to deleverage their balance sheets, especially when you consider the banking system has had a significant increase in leverage caused by the net reduction in capital bases (losses of $ 380B exceed capital raises of $ 257B), as well as some banks being forced to buy - back assets from securitized vehicles which they sponsored.
The private bank however had to bring back the SIV on its balance sheet when the MBS market collapse and take huge losses like Citigroup did.
That leaves these institutions with less cash for lending, pushing up domestic interest rates (and ultimately leaving the central bank with a loss on its balance sheet).
It is improbable, on the other hand, that with private investors in distress and with the write down of real estate losses eating away bank revenues anyone apart from the government will be capable of providing the additional capital needed to keep bank balance sheets respectable.
But Mr. McKay reminded his audience that, due to Canadian government guarantees on mortgage insurance, bank balance sheets are protected from property losses of less than 25 per cent.
Also, the losses on commercial real estate have not been felt yet on the balance sheets of banks.
In addition, with all the losses most banks balance sheets were a disaster and they were not in a position to hold them on their books.
The maritime sector, which takes up little space on their balance sheets, has become a sector that larger banks, and, in particular European banks, want to exclude from their portfolios due to the losses it causes them.