European NPLs through the crisis: a policy review
Journal of Financial Regulation and Compliance
ISSN: 1358-1988
Article publication date: 13 November 2017
Abstract
Purpose
The unfolding of the financial crisis in parts of Europe has highlighted a number of challenges which can be analysed through the prism of NPLs. These included the discrepancies across supervisory regimes, the limitations of macro-prudential supervision and the diversity of NPL resolution approaches.
Design/methodology/approach
The authors review policy lessons from the crisis in dealing with the NPL problem.
Findings
The paper highlights some key recommendations – the need for intrusive supervision, strong macro-financial surveillance and NPL resolution approaches that provide the right incentives.
Originality/value
These recommendations can help inform the current debate regarding regulatory and structural initiatives to tackle NPLs.
Keywords
Acknowledgements
The views expressed in this paper are solely those of the authors and do not represent the policies or opinions, past or future, of the Banque de France, or of the SRB or any of its board members.
Citation
Jassaud, N. and Vidon, E. (2017), "European NPLs through the crisis: a policy review", Journal of Financial Regulation and Compliance, Vol. 25 No. 4, pp. 413-421. https://doi.org/10.1108/JFRC-02-2017-0029
Publisher
:Emerald Publishing Limited
Copyright © 2017, Emerald Publishing Limited