(ANSA) - ROME, DECEMBER 09 - European banks presented themselves with more solid capital than in the previous crisis but the impact of the decline in GDP and inflation is on the way, with the consequent growth of non-performing loans.
In its 'riskassessment' the EBA, the European banking authority, adds its request for prudence to the appeals launched by the ECB for several weeks.
The increase in interest rates has caused interest margins to rise, writes the EBA, "but there is uncertainty about their evolution" given that the cost of funding also rises.
The recession and the slowdown in European economies "will lead to a drop in asset management revenues".
(HANDLE).
