Obstacles to finance future demand for residential real estateLatvijas Banka
2015. gada 20. oktobrī norisinājās konference “Starptautiskās investīcijas nekustamajā īpašumā Latvijā 2015”. Tajā ar prezentāciju "Obstacles to finance future demand for residential real estate" piedalījās arī Latvijas Bankas ekonomiste Olga Lielkalne.
Nordic interconnectedness and indebted households a risk to financial stabilitySuomen Pankki
The presentation by Marja Nykänen, a member of the Board of the Bank of Finland, on the press conference of the Bank of Finland Bulletin publication, May 10, 2017
Why Latvia succeeded and Southern Europe failedLatvijas Banka
Presentation by Dr. Anders Åslund, Senior Fellow, Peterson Institute for International Economics (USA) at Bank of Latvia conference ""Economic Adjustment under Sovereign Debt Crisis: Can Experience of the Baltics Be Applied to Others?
Riga, November 2, 2012.
Rahamuseon webinaari: Ilmastonmuutoksen vaikutus valtionlainoihin sijoituskoh...Finanssivalvonta
Rahamuseon webinaari 7.12.2021: Ilmastonmuutoksen vaikutus valtionlainoihin sijoituskohteena. Finanssivalvonnan johtavan riskiasiantuntijan Mikko Sinersalon esitysmateriaali webinaarissa 7.12.2021
Obstacles to finance future demand for residential real estateLatvijas Banka
2015. gada 20. oktobrī norisinājās konference “Starptautiskās investīcijas nekustamajā īpašumā Latvijā 2015”. Tajā ar prezentāciju "Obstacles to finance future demand for residential real estate" piedalījās arī Latvijas Bankas ekonomiste Olga Lielkalne.
Nordic interconnectedness and indebted households a risk to financial stabilitySuomen Pankki
The presentation by Marja Nykänen, a member of the Board of the Bank of Finland, on the press conference of the Bank of Finland Bulletin publication, May 10, 2017
Why Latvia succeeded and Southern Europe failedLatvijas Banka
Presentation by Dr. Anders Åslund, Senior Fellow, Peterson Institute for International Economics (USA) at Bank of Latvia conference ""Economic Adjustment under Sovereign Debt Crisis: Can Experience of the Baltics Be Applied to Others?
Riga, November 2, 2012.
Rahamuseon webinaari: Ilmastonmuutoksen vaikutus valtionlainoihin sijoituskoh...Finanssivalvonta
Rahamuseon webinaari 7.12.2021: Ilmastonmuutoksen vaikutus valtionlainoihin sijoituskohteena. Finanssivalvonnan johtavan riskiasiantuntijan Mikko Sinersalon esitysmateriaali webinaarissa 7.12.2021
Lekcija: Eirozonas ekonomika un monetārā politika (ENG)Latvijas Banka
Prezentācijā apskatītas šādas tēmas:
Eirozonas ekonomikas aktualitātes.
Eiro zonas monetārās politikas galvenais mērķis – cenu stabilitāte.
Cenu stabilitāte un inflācija.
Monetārās politikas transmisijas mehānisms un Eiropas Centrālās bankas ietekme uz makroekonomiskajiem rādītājiem.
Monetārās politikas praktiskā īstenošana eiro zonā: monetārās politikas īstenošanas pamatprincipi, instrumenti.
Deputy Governor Marja Nykänen
Bank of Finland
Financial stability assessment: Coronavirus pandemic demonstrates the necessity of risk buffers
Bank of Finland Bulletin press conference 5 May 2020
www.eurojatalous.fi
Policy responses to the global economic crisis: Too little, too late?Latvijas Banka
Presentation by Andrew Bosomworth, Managing Director, PIMCO, at the Bank of Latvia conference "Economic Adjustment under Sovereign Debt Crisis: Can Experience of the Baltics Be Applied to Others?"
Riga, November 2, 2012.
Governor Olli Rehn: Recovery continues, overshadowed by COVID – monetary pol...Suomen Pankki
Governor Olli Rehn: Recovery continues, overshadowed by COVID – monetary policy under conflicting pressures, Bank of Finland Bulletin press conference 17 December 2021
Economic adjustment in the euro area and the experience of the BalticsLatvijas Banka
Presentation by Hans-Joachim Klöckers, Deputy Director General Economics, European Central Bank at the Bank of Latvia conference "Economic Adjustment under Sovereign Debt Crisis: Can Experience of the Baltics Be Applied to Others?"
Riga, November 2, 2012.
Speech by Olli Rehn at the Euro Conference LatviaLatvijas Banka
Presentation by Vice-President of the European Commission and member of the Commission responsible for Economic and Monetary Affairs and the Euro Olli Rehn at the Euro Conference Latvia.
Riga, September 12, 2013.
Lekcija: Eirozonas ekonomika un monetārā politika (ENG)Latvijas Banka
Prezentācijā apskatītas šādas tēmas:
Eirozonas ekonomikas aktualitātes.
Eiro zonas monetārās politikas galvenais mērķis – cenu stabilitāte.
Cenu stabilitāte un inflācija.
Monetārās politikas transmisijas mehānisms un Eiropas Centrālās bankas ietekme uz makroekonomiskajiem rādītājiem.
Monetārās politikas praktiskā īstenošana eiro zonā: monetārās politikas īstenošanas pamatprincipi, instrumenti.
Deputy Governor Marja Nykänen
Bank of Finland
Financial stability assessment: Coronavirus pandemic demonstrates the necessity of risk buffers
Bank of Finland Bulletin press conference 5 May 2020
www.eurojatalous.fi
Policy responses to the global economic crisis: Too little, too late?Latvijas Banka
Presentation by Andrew Bosomworth, Managing Director, PIMCO, at the Bank of Latvia conference "Economic Adjustment under Sovereign Debt Crisis: Can Experience of the Baltics Be Applied to Others?"
Riga, November 2, 2012.
Governor Olli Rehn: Recovery continues, overshadowed by COVID – monetary pol...Suomen Pankki
Governor Olli Rehn: Recovery continues, overshadowed by COVID – monetary policy under conflicting pressures, Bank of Finland Bulletin press conference 17 December 2021
Economic adjustment in the euro area and the experience of the BalticsLatvijas Banka
Presentation by Hans-Joachim Klöckers, Deputy Director General Economics, European Central Bank at the Bank of Latvia conference "Economic Adjustment under Sovereign Debt Crisis: Can Experience of the Baltics Be Applied to Others?"
Riga, November 2, 2012.
Speech by Olli Rehn at the Euro Conference LatviaLatvijas Banka
Presentation by Vice-President of the European Commission and member of the Commission responsible for Economic and Monetary Affairs and the Euro Olli Rehn at the Euro Conference Latvia.
Riga, September 12, 2013.
Deputy Governor Marja Nykänen: New instruments to rein in household debtSuomen Pankki
Deputy Governor Marja Nykänen
Bank of Finland
New instruments to rein in household debt
Bank of Finland Bulletin press conference 4 May 2021
bofbulletin.fi
#bofbulletin
This study presentation looks at the causes and consequences of different types of financial crisis. It also focuses on the Hyman Minsky theory of financial instability in a capitalist economic system.
Member of the Board Tuomas Välimäki: Economic crises have expanded the fronti...Suomen Pankki
Member of the Board Tuomas Välimäki
Bank of Finland
Economic crises have expanded the frontiers of monetary policy implementation
Bank of Finland Bulletin press conference 25 August 2020
This presentation analyzes the sources of the eurozone crisis, policy responses, and solutions. It also shows a debt sustainability analysis for Greece, Ireland, Italy, Portugal and Spain.
La gran banca europea pone a punto sus balancesPwC España
Desde el inicio de la crisis, la gran banca europea ha reducido su tamaño –sólo entre 2012 y 2013 sus activos cayeron un 11%-, ha mejorado sus ratios de capital y ha rebajado sensiblemente su exposición al riesgo. Además, ha ampliado su número de depósitos un 14,5% y ha aumentado su liquidez un 78%. Sin embargo, todavía sigue pendiente de ajustarse a nuevas exigencias regulatorias.
Governor Olli Rehn: The Finnish economy in early summer 2020: The worst has n...Suomen Pankki
Governor Olli Rehn
Bank of Finland
The Finnish economy in early summer 2020: The worst has not transpired – but we mustn’t fade in the second half
Bank of Finland Bulletin press conference 9 June 2020
www.eurojatalous.fi #bofbulletin
Eesti Panga president Madis Müller ja finantsstabiilsuse osakonna juhataja Jaak Tõrs tutvustasid kõigile majandushuvilistele äsja valminud Eesti finantssektori ülevaadet.
Majanduse Rahastamise Ülevaade. Veebruar 2023Eesti Pank
22.02.2023 Eesti Panga ökonomistid Taavi Raudsaar ja Mari Tamm tutvustasid äsja valminud Majanduse Rahastamise Ülevaadet ehk millised on Eesti majapidamiste ja ettevõtete rahastamisvõimalused.
Fabio Canovaand Evi Pappa. Costly disasters, energy consumption, and the role...Eesti Pank
Neljapäeval, 20. oktoobril 2022 toimus Eesti Panga avatud seminar, kus rahvusvaheliselt tunnustatud majandusteadlane Fabio Canova tutvustas koos Evi Pappaga valminud uurimustööd „Kulukad looduskatastroofid, energiatarbimine ning eelarvepoliitika“ (Costly disasters, energy consumption, and the role of fiscal policy).
Romain Duval. IMF Regional Economic Outlook for EuropeEesti Pank
31. oktoobril 2022 toimus Eesti Panga avatud seminar, kus Rahvusvahelise Valuutafondi esindaja Romain A. Duval tutvustas IMFi Euroopa osakonnas vastvalminud regionaalset majandusväljavaadet.
Pressikonverents Eesti Pangas, kus keskpanga president Madis Müller ja finantsstabiilsuse osakonna juhataja Jaak Tõrs tutvustavad ülevaadet, mis analüüsib suuremaid riske Eesti finantssektoris.
Pressikonverentsil saab teada:
kuidas majanduse jahenemine, kiire hinnakasv ja intresside tõus mõjutavad inimeste ja ettevõtete võimet laene tagasi maksta
milline mõju saab majanduse jahenemisel olema uute laenude andmisel ettevõtetele ja inimestele
kuidas mõjutavad võlakirjaturgudel toimuvad muutused Eesti pangandussektori rahastamist
milliseid samme tuleb keskpanga hinnangul astuda finantssektori tugevuse kindlustamiseks.
The European Unemployment Puzzle: implications from population agingGRAPE
We study the link between the evolving age structure of the working population and unemployment. We build a large new Keynesian OLG model with a realistic age structure, labor market frictions, sticky prices, and aggregate shocks. Once calibrated to the European economy, we quantify the extent to which demographic changes over the last three decades have contributed to the decline of the unemployment rate. Our findings yield important implications for the future evolution of unemployment given the anticipated further aging of the working population in Europe. We also quantify the implications for optimal monetary policy: lowering inflation volatility becomes less costly in terms of GDP and unemployment volatility, which hints that optimal monetary policy may be more hawkish in an aging society. Finally, our results also propose a partial reversal of the European-US unemployment puzzle due to the fact that the share of young workers is expected to remain robust in the US.
how can i use my minded pi coins I need some funds.DOT TECH
If you are interested in selling your pi coins, i have a verified pi merchant, who buys pi coins and resell them to exchanges looking forward to hold till mainnet launch.
Because the core team has announced that pi network will not be doing any pre-sale. The only way exchanges like huobi, bitmart and hotbit can get pi is by buying from miners.
Now a merchant stands in between these exchanges and the miners. As a link to make transactions smooth. Because right now in the enclosed mainnet you can't sell pi coins your self. You need the help of a merchant,
i will leave the telegram contact of my personal pi merchant below. 👇 I and my friends has traded more than 3000pi coins with him successfully.
@Pi_vendor_247
Turin Startup Ecosystem 2024 - Ricerca sulle Startup e il Sistema dell'Innov...Quotidiano Piemontese
Turin Startup Ecosystem 2024
Una ricerca de il Club degli Investitori, in collaborazione con ToTeM Torino Tech Map e con il supporto della ESCP Business School e di Growth Capital
Even tho Pi network is not listed on any exchange yet.
Buying/Selling or investing in pi network coins is highly possible through the help of vendors. You can buy from vendors[ buy directly from the pi network miners and resell it]. I will leave the telegram contact of my personal vendor.
@Pi_vendor_247
how can I sell pi coins after successfully completing KYCDOT TECH
Pi coins is not launched yet in any exchange 💱 this means it's not swappable, the current pi displaying on coin market cap is the iou version of pi. And you can learn all about that on my previous post.
RIGHT NOW THE ONLY WAY you can sell pi coins is through verified pi merchants. A pi merchant is someone who buys pi coins and resell them to exchanges and crypto whales. Looking forward to hold massive quantities of pi coins before the mainnet launch.
This is because pi network is not doing any pre-sale or ico offerings, the only way to get my coins is from buying from miners. So a merchant facilitates the transactions between the miners and these exchanges holding pi.
I and my friends has sold more than 6000 pi coins successfully with this method. I will be happy to share the contact of my personal pi merchant. The one i trade with, if you have your own merchant you can trade with them. For those who are new.
Message: @Pi_vendor_247 on telegram.
I wouldn't advise you selling all percentage of the pi coins. Leave at least a before so its a win win during open mainnet. Have a nice day pioneers ♥️
#kyc #mainnet #picoins #pi #sellpi #piwallet
#pinetwork
The Evolution of Non-Banking Financial Companies (NBFCs) in India: Challenges...beulahfernandes8
Role in Financial System
NBFCs are critical in bridging the financial inclusion gap.
They provide specialized financial services that cater to segments often neglected by traditional banks.
Economic Impact
NBFCs contribute significantly to India's GDP.
They support sectors like micro, small, and medium enterprises (MSMEs), housing finance, and personal loans.
Currently pi network is not tradable on binance or any other exchange because we are still in the enclosed mainnet.
Right now the only way to sell pi coins is by trading with a verified merchant.
What is a pi merchant?
A pi merchant is someone verified by pi network team and allowed to barter pi coins for goods and services.
Since pi network is not doing any pre-sale The only way exchanges like binance/huobi or crypto whales can get pi is by buying from miners. And a merchant stands in between the exchanges and the miners.
I will leave the telegram contact of my personal pi merchant. I and my friends has traded more than 6000pi coins successfully
Tele-gram
@Pi_vendor_247
what is the best method to sell pi coins in 2024DOT TECH
The best way to sell your pi coins safely is trading with an exchange..but since pi is not launched in any exchange, and second option is through a VERIFIED pi merchant.
Who is a pi merchant?
A pi merchant is someone who buys pi coins from miners and pioneers and resell them to Investors looking forward to hold massive amounts before mainnet launch in 2026.
I will leave the telegram contact of my personal pi merchant to trade pi coins with.
@Pi_vendor_247
Falcon stands out as a top-tier P2P Invoice Discounting platform in India, bridging esteemed blue-chip companies and eager investors. Our goal is to transform the investment landscape in India by establishing a comprehensive destination for borrowers and investors with diverse profiles and needs, all while minimizing risk. What sets Falcon apart is the elimination of intermediaries such as commercial banks and depository institutions, allowing investors to enjoy higher yields.
how to sell pi coins in all Africa Countries.DOT TECH
Yes. You can sell your pi network for other cryptocurrencies like Bitcoin, usdt , Ethereum and other currencies And this is done easily with the help from a pi merchant.
What is a pi merchant ?
Since pi is not launched yet in any exchange. The only way you can sell right now is through merchants.
A verified Pi merchant is someone who buys pi network coins from miners and resell them to investors looking forward to hold massive quantities of pi coins before mainnet launch in 2026.
I will leave the telegram contact of my personal pi merchant to trade with.
@Pi_vendor_247
how to sell pi coins in South Korea profitably.DOT TECH
Yes. You can sell your pi network coins in South Korea or any other country, by finding a verified pi merchant
What is a verified pi merchant?
Since pi network is not launched yet on any exchange, the only way you can sell pi coins is by selling to a verified pi merchant, and this is because pi network is not launched yet on any exchange and no pre-sale or ico offerings Is done on pi.
Since there is no pre-sale, the only way exchanges can get pi is by buying from miners. So a pi merchant facilitates these transactions by acting as a bridge for both transactions.
How can i find a pi vendor/merchant?
Well for those who haven't traded with a pi merchant or who don't already have one. I will leave the telegram id of my personal pi merchant who i trade pi with.
Tele gram: @Pi_vendor_247
#pi #sell #nigeria #pinetwork #picoins #sellpi #Nigerian #tradepi #pinetworkcoins #sellmypi
what is the future of Pi Network currency.DOT TECH
The future of the Pi cryptocurrency is uncertain, and its success will depend on several factors. Pi is a relatively new cryptocurrency that aims to be user-friendly and accessible to a wide audience. Here are a few key considerations for its future:
Message: @Pi_vendor_247 on telegram if u want to sell PI COINS.
1. Mainnet Launch: As of my last knowledge update in January 2022, Pi was still in the testnet phase. Its success will depend on a successful transition to a mainnet, where actual transactions can take place.
2. User Adoption: Pi's success will be closely tied to user adoption. The more users who join the network and actively participate, the stronger the ecosystem can become.
3. Utility and Use Cases: For a cryptocurrency to thrive, it must offer utility and practical use cases. The Pi team has talked about various applications, including peer-to-peer transactions, smart contracts, and more. The development and implementation of these features will be essential.
4. Regulatory Environment: The regulatory environment for cryptocurrencies is evolving globally. How Pi navigates and complies with regulations in various jurisdictions will significantly impact its future.
5. Technology Development: The Pi network must continue to develop and improve its technology, security, and scalability to compete with established cryptocurrencies.
6. Community Engagement: The Pi community plays a critical role in its future. Engaged users can help build trust and grow the network.
7. Monetization and Sustainability: The Pi team's monetization strategy, such as fees, partnerships, or other revenue sources, will affect its long-term sustainability.
It's essential to approach Pi or any new cryptocurrency with caution and conduct due diligence. Cryptocurrency investments involve risks, and potential rewards can be uncertain. The success and future of Pi will depend on the collective efforts of its team, community, and the broader cryptocurrency market dynamics. It's advisable to stay updated on Pi's development and follow any updates from the official Pi Network website or announcements from the team.
US Economic Outlook - Being Decided - M Capital Group August 2021.pdfpchutichetpong
The U.S. economy is continuing its impressive recovery from the COVID-19 pandemic and not slowing down despite re-occurring bumps. The U.S. savings rate reached its highest ever recorded level at 34% in April 2020 and Americans seem ready to spend. The sectors that had been hurt the most by the pandemic specifically reduced consumer spending, like retail, leisure, hospitality, and travel, are now experiencing massive growth in revenue and job openings.
Could this growth lead to a “Roaring Twenties”? As quickly as the U.S. economy contracted, experiencing a 9.1% drop in economic output relative to the business cycle in Q2 2020, the largest in recorded history, it has rebounded beyond expectations. This surprising growth seems to be fueled by the U.S. government’s aggressive fiscal and monetary policies, and an increase in consumer spending as mobility restrictions are lifted. Unemployment rates between June 2020 and June 2021 decreased by 5.2%, while the demand for labor is increasing, coupled with increasing wages to incentivize Americans to rejoin the labor force. Schools and businesses are expected to fully reopen soon. In parallel, vaccination rates across the country and the world continue to rise, with full vaccination rates of 50% and 14.8% respectively.
However, it is not completely smooth sailing from here. According to M Capital Group, the main risks that threaten the continued growth of the U.S. economy are inflation, unsettled trade relations, and another wave of Covid-19 mutations that could shut down the world again. Have we learned from the past year of COVID-19 and adapted our economy accordingly?
“In order for the U.S. economy to continue growing, whether there is another wave or not, the U.S. needs to focus on diversifying supply chains, supporting business investment, and maintaining consumer spending,” says Grace Feeley, a research analyst at M Capital Group.
While the economic indicators are positive, the risks are coming closer to manifesting and threatening such growth. The new variants spreading throughout the world, Delta, Lambda, and Gamma, are vaccine-resistant and muddy the predictions made about the economy and health of the country. These variants bring back the feeling of uncertainty that has wreaked havoc not only on the stock market but the mindset of people around the world. MCG provides unique insight on how to mitigate these risks to possibly ensure a bright economic future.
BYD SWOT Analysis and In-Depth Insights 2024.pptxmikemetalprod
Indepth analysis of the BYD 2024
BYD (Build Your Dreams) is a Chinese automaker and battery manufacturer that has snowballed over the past two decades to become a significant player in electric vehicles and global clean energy technology.
This SWOT analysis examines BYD's strengths, weaknesses, opportunities, and threats as it competes in the fast-changing automotive and energy storage industries.
Founded in 1995 and headquartered in Shenzhen, BYD started as a battery company before expanding into automobiles in the early 2000s.
Initially manufacturing gasoline-powered vehicles, BYD focused on plug-in hybrid and fully electric vehicles, leveraging its expertise in battery technology.
Today, BYD is the world’s largest electric vehicle manufacturer, delivering over 1.2 million electric cars globally. The company also produces electric buses, trucks, forklifts, and rail transit.
On the energy side, BYD is a major supplier of rechargeable batteries for cell phones, laptops, electric vehicles, and energy storage systems.
2. The ability of companies and households to service their
loans is deteriorating
2
3. The depth of the recession will depend on how long
the restrictions last
• The measures taken to stop the spread of the coronavirus have a substantial impact
on economic activity
• this includes a drop in exports, supply problems and weaker consumer confidence
• Eesti Pank carried out scenario analysis to estimate the decline in the economy
• if restrictions last until August, the Estonian economy could shrink by 14%
• The longer the restrictions last, the more slowly the economy will recover
3
4. The extent of problem loans at the banks will be
affected by the length and depth of the recession
• The sectors of the economy that were hit first by the restrictions make up quite a small
part of the loan portfolio of the banks
• Other sectors currently face difficulties that will become worse as the restrictions endure
4
0%
10%
20%
30%
40%
50%
Distribution of the loan and lease portfolio of the banks
Source: Eesti Pank
5. The capacity of companies to withstand difficulties
had improved substantially before the crisis
5
• Temporary payment difficulties can be overcome if grace periods are granted
100%
200%
300%
400%
60%
80%
100%
120%
2005 2007 2009 2011 2013 2015 2017 2019
Indebtedness and liquidity of companies
Sources: Statistics Estonia, Eesti Pank
Liquid assets
(right scale)
Indebtedness
(left scale)
6. The financial position of households is also
stronger than before
6
0%
1%
2%
3%
4%
5%
6%
7%
0%
10%
20%
30%
40%
50%
60%
70%
2005 2007 2009 2011 2013 2015 2017 2019
Indebtedness and interest expenses of households
Sources: Statistics Estonia, Eesti Pank
Indebtedness
(left scale)
Interest expenses
(right scale)
7. If the restrictions on the economy last until August, the
problem loans of the banks could grow substantially
7
0%
5%
10%
15%
20%
25%
all banks systemically important banks small banks
Possible share of problem loans in assets if the restrictions last until the start of August
Source: Eesti Pank
13%
Possible
problem loans*
Overdue loans
in 2019
12%
22%
*Possible problem loans if the restrictions last until August
• The volume of problem loans depends on the structure of the loan portfolio of each bank
8. The banks can cope with the loan losses even if the restrictions
on the economy last until August
8
0%
5%
10%
15%
20%
25%
30%
35%
capital possible loan losses capital possible loan losses capital possible loan losses
all banks systemically important banks small banks
%ofriskexposures
Capitalisation of the banking sector and possible loan losses if the restrictions last until the start of August
Source: Eesti Pank
* Systemically important banks are Swedbank AS, AS SEB Pank, Luminor Bank AS and AS LHV Pank
Voluntary
buffer
Macro and micro
buffers
Mandatory
minimum
9. Actual loan losses will probably be smaller than in
the scenario of the restrictions lasting until August
• It is unlikely that the restrictions will remain at their current level until August
• It is not impossible that some of the restrictions will have to be brought back later on to stop the
spread of the virus
• The support measures from the state are helping companies and households to survive
the difficulties
• The European Central Bank has decided to take extraordinary measures to ease the impact
of the crisis
• The European Central Bank and supervisory authorities have allowed some degree of
flexibility in applying the framework for overdue loans
• Temporary payment moratoriums give loan clients time to manage the crisis
• They also give banks additional time to assess which clients will recover their capacity to pay
9
10. Applications for grace periods have been numerous
• Companies have applied for grace periods for 20% of their loan stock, and households for 4%
• The banks are allowing grace periods to overcome broad liquidity problems
10
0%
2%
4%
6%
8%
10%
12%
3/25/2020 4/1/2020 4/8/2020 4/15/2020 4/22/2020 4/29/2020
Applications for grace periods as a share of the loan stock of the banks
Source: Finantsinspektsioon
4% 4%
Corporate loans
Housing loans
Other household
loans
Grace
periods granted
1%
5%
7%
8%
11. The performance of the Estonian economy and financial
sector is affected by the extent of problems in
neighbouring countries
11
12. The Swedish banks are largely dependent on market-
based funding
12
0%
50%
100%
150%
200%
250%
DK SE FI LU NL IE AT FR SK GR ES DE EE PT IT PL LT MT LV CZ BE CY SI HR RO BG
Loan-to-deposit ratios in the European Union as at 31 December 2019
Source: European Central Bank
13. Financial markets are very volatile
13
-60%
-50%
-40%
-30%
-20%
-10%
0%
10%
20%
30%
2019 2020
Changes in the share price of banking groups since the start of 2019*
Sources: market data, Eesti Pank calculations
Swedbank
*The volatility in share prices in 2019 was largely driven by concerns that there may be shortcomings in the anti-money laundering measures of the banks
SEB
OMX Stockholm Banks
COVID-19pandemic
14. The market-based funding conditions of the banks
have become notably worse
14
0.0%
0.5%
1.0%
1.5%
2.0%
Swedbank senior unsecured SEB senior unsecured Swedbank covered bond SEB covered bond
Changes in the market interest rates on bonds in March 2020
Sources: market data, Eesti Pank calculations
Covered bonds
Unsecured bonds
• If financial markets remain volatile over a longer period, planned issues may prove more difficult
• The banks may become less ready to lend in Estonia
15. Estonian banks operate in Latvia and Lithuania, so they
are dependent on the performance of all the Baltic states
15
• Countries with small and open economies are very sensitive to shocks
• The credit risks in the Latvian and Lithuanian banking sectors are similar to those in Estonia
-30%
-20%
-10%
0%
10%
20%
30%
40%
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Nominal GDP growth
Sources: Eurostat, Eesti Pank calculations
Lithuania
Estonia
European Union
Latvia
16. Demand and supply in the real estate market
may move out of balance
16
17. The real estate sector was better aligned with
developments in the rest of the economy before the crisis
17
12%
13%
14%
15%
16%
17%
18%
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Sources: Statistics Estonia, Eurostat
Value added in construction and real estate
Value-added-to-GDP in
construction and real estate
Historical average
18. Development of residential real estate has grown fast
18
0
500
1000
1500
2000
2500
3000
3500
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Source: Statistics Estonia
Four-quarter moving average for number of construction and use permits for residential space
Number of construction permits
Number of permits for use
19. Activity has been strong in commercial real
estate development
19
0%
2%
4%
6%
8%
10%
12%
2012 2013 2014 2015 2016 2017 2018 2019
Sources: Statistics Estonia, Colliers International
Growth in square metres of commercial real estate and GDP
GDP growth
Growth in square metres of
commercial real estate
20. Summary of the risks to the financial sector
Macroprudential policy steps
21. The ability of companies and households to service
their loans is deteriorating
• The restrictions to stop the spread of the coronavirus have a major impact on
businesses and households
• The restrictions immediately impact companies focused on domestic demand and
the transport sector and exporting companies because of the contraction in export
markets
• If the restrictions on the economy last until August, problem loans could increase to
up to 13% of the loan portfolio of the banks
21
22. Problems in neighbouring countries could affect
financial intermediation in Estonia
• Swedish banking groups may support their Estonian subsidiaries during the crisis…
• … but if the groups become less able to access funding from international markets, it
could harm the loan supply from the Estonian banks
• The Estonian banks mainly fund themselves from local deposits, which has made
their supply of loans fairly independent
• The Estonian banking sector could be affected by risks coming from economic
developments in Latvia and Lithuania
• The credit risks in Latvia and Lithuania are similar to those in Estonia
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23. Demand could fall a long way in the real estate
market
• Loans to construction and real estate make up a large part of the corporate loan
portfolio of the banks
• Demand will fall for some time at least for both residential and commercial real
estate
• A long recession could cause developers difficulties in completing projects and
owners problems in maintaining rental income
• The real estate market is in much better balance than it was before the financial
crisis of 2009
• The sector has not grown as quickly as a share of the total economy
• Companies are less leveraged
• Prices are better aligned with the rest of the economy
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24. The central banks of the euro area are keeping funding
conditions favourable to ease the impact of the crisis on the
economy
• Liquidity support and long-term loans to banks on favourable terms
• Loans with different maturities and lower interest rates than usual; particularly favourable are
loans where the interest rate depends on growth in the loan portfolio of the bank, to
encourage banks to issue new loans
• A broader list of eligible collateral that allows banks to borrow more from the central banks of
the euro area
• Interest rates in financial markets have been reduced further by the temporary additional
asset purchase programme of the euro area central banks, worth 7.3% of euro area GDP
• Additional purchases of 120 billion euros in the framework of the asset purchase programme
• A new and extraordinary pandemic emergency purchase programme of 750 billion euros to
offset the economic impact
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25. The ability of the financial sector to cope with the
crisis is relatively good
• Banks are well capitalised and their liquidity positions are relatively strong
• Numerous measures have been taken to help them cope with the difficult situation
• Eesti Pank has lowered the systemic risk buffer to 0%, freeing up some 110 million
euros for the banks that they can use to cover loan losses and issue new loans
• The banks in Estonia have promised to follow the recommendation of the European
Central Bank to refrain from paying out dividends until October this year
• The government has passed substantial support measures
• The framework for overdue loans allows some degree of flexibility, which has allowed
banks to agree private payment moratorium
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26. The risks to financial stability in Estonia have
increased substantially
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