Economy / Brazil
Banking Sector Outlook: Bumpy Road Ahead
June 2009 | Economic AnalysisTo read the full article, please choose one of the following options:
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Government pressure to reduce borrowing costs seems to have succeeded in sending average lending rates significantly lower. However, at a time of rising private sector delinquencies and increasing requests for bankruptcy filings, we continue to caution that an uptick in non-performing loans could threaten the profitability of the entire banking sector for years to come.
