STOCKHOLM (Standard & Poor's) Feb. 2, 2009--Sweden's banks face increasing asset quality problems, despite the inherently low risk in the country's banking system, according to a report released today by Standard & Poor's Rating Services. Non-performing loans and loan losses in the corporate sector are likely to increase significantly over the medium term, while loan losses from the Baltic operations of Swedish banks are expected to increase sharply in the course of 2009, according to the report, titled "Bank Industry Risk Analysis: Swedish Banks Face Increasing Asset Quality Problems At Home And Abroad". Positively, the report predicts that, despite a moderate up-tick in unemployment, the Swedish household sector will prove much more resilient, supported by an income tax cut and...
Companies mentioned in this report are:
- Skandinaviska Enskilda Banken AB (publ)
- Swedbank AB
- Svenska Handelsbanken AB
- Nordea Bank AB
Action: General Comment
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Research type: News
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