Financial Systems latest publications
Banco de México reiterated the resilience of the financial system in the face of the adverse shock of the pandemic, as credits granted remain weak (-8.8% YoY in April) and levels of bank deposits remain close to historical highs.
CNBV designates commercial banking institutions of local systemic importance. BIS annual economic report. The origination of mortgage financing from banks fell 18.2% in real terms. Adverse economic effects of the COVID-19 outbreak in the US slows down the recovery of financial markets at the end of July.
Early equity optimism in Europe driven by the positive manufacturing data from China was erased amid new trade concerns, political risk in Germany and worse-than-expected US manufacturing data.
The Capital Flows to Emerging Markets are normally associated to positive consequences but unfortunately can have perverse effects when they slow down or suddenly stop. A simple model of “Pull & Push” factors can be useful to understand the driver behind the capital flows to EMs both in the past and in the future.
“It’s a common defect of men to overlook the storm during the calm.” N. Machiavelli.
The European Commission has presented an Action Plan to promote innovation in the financial sector, setting the roadmap for fintech in Europe. Most initiatives are positive for the EU financial market, but more ambition is needed if Europe aims to become a global fintech hub.
In this issue we review: Trends and developments in the Spanish banking sector. Spanish banks’ ROE, COE and P/BV ratio. Evolution of the financial burden of families in Europe. Management of non-performing assets in Europe. Peru: deposits in soles and exchange rate expectations.
February 27, 2017
Convergencia en la carga financiera familiar: tipos y desapalancamiento factores clave
La literatura económica indica que la carga financiera es un importante predictor del sobreendeudamiento de las familias, y se señala el nivel del 20% de la renta disponible de la unidad familiar como un límite crítico.