Bank representatives discussed the issues of bad loans, bonds, financial results, and their further expansion in a conference call with the managing directors of banking institutions.
The discussion between the two sides covered a number of ‘hot’ issues that may positively or negatively affect the course of the banks, including:
The asset quality. More specifically, the institutions asked the banks to “scan” the trends for the creation of new stage 2 loans but also for regulated loans at risk to become non-performing again.
The program for the support of vulnerable borrowers and its progress was another matter of discussion as well as the Hercules program and the review of the bad loan reduction scheme that has not yet been completed.
They also discussed profitability in relation to interest margin and the planning of their interest rate policy.
Credit institutions are not expected to proceed with significant increases in deposit rates, while lending rates are expected to remain at high levels for a long time, bank representatives said.
Planning for liquidity and capital adequacy, the repayment of the TLTRO and the MREL issues also dominated the discussion as well the banks’ business plans.
