Persistently high non-performing exposures (NPLs) in several European countries pose significant challenges to financial stability and are likely weighing on credit growth and economic activity. This paper, which summarizes a detailed IMF analysis (IMF SDN/15/19), examines the structural obstacles that discourage European banks from addressing their problem loans. It argues that a comprehensive approach comprising […]
Dermot Monaghan is a senior financial sector expert in the Monetary and Capital Markets Department of the International Monetary Fund. He has worked on a broad range of financial crisis related issues, mainly in Europe and Asia. Previously he worked as Chief Risk Officer, in the Department of Finance in Ireland, and before that he worked at the Central Bank of Ireland, a large German bank, and an Italian hedge fund. He has a PhD from Queen’s University Belfast (UK).