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Jiménez: Victoria 1522 is cautious about banks that have loan/deposit ratios over 100% because of the lack of lending capacities.
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lending capacity.
The ESM will have a lending capacity of €500bn.
That could free lending capacity for smaller firms.
member states roughly trebled the institution's lending capacity.
Worse, it aims to reduce the agency's lending capacity by 50percentt.
The problem should be temporary because the bank has plenty of lending capacity.
Its lending capacity was capped at €500bn, as has long been planned.
So banks should raise their capital levels to preserve confidence and maintain lending capacity.
A third of lending capacity vanished with the departure of Icelandic and Irish banks.
The G20 summit in London in April promised a tripling of its lending capacity.
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