What do banks lose money on during crises? Charts accompanying Staff Memo 3/2014.
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What do banks lose money on during crises? Charts accompanying Staff Memo 3/2014
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Transcript of What do banks lose money on during crises? Charts accompanying Staff Memo 3/2014.
What do banks lose money on during crises?Charts accompanying Staff Memo 3/2014
Chart 1: Losses1) as a percentage of loans to different sectors. Norwegian commercial banks. 1986–1991
1986 1987 1988 1989 1990 19910
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14HouseholdsTotal loansBuilding, construction, electricity supplyOperation of property and other services
Source: Official Norwegian Report (NOU) (1992)1) Write-downs
Chart 2: Losses1) as a percentage of loans to different sectors. Norwegian savings banks. 1986–1991
1986 1987 1988 1989 1990 19910
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10HouseholdsTotal loansBuilding, construction, electricity supplyOperation of property and other services
Source: Official Norwegian Report (NOU) (1992)1) Write-downs
Chart 3: Individual write-downs as a percentage of loans to households and non-financial enterprises. Norwegian banks. Parent bank. 1997–2012
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0.8Column1Non-financial enterprises
Source: Norges Bank
Chart 4: Losses1) of all banks in the United Kingdom. GBP billion. 1987–1997
1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 19970
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6Column1Non-financial enterprises
Source: Bank of England (1998)1) Write-downs2) Losses on household loans secured on residential property constitute a small proportion of total house-hold losses. The earliest available breakdown is for 1992, and shows that loans secured on residential property accounted for around 20 percent of total losses on household loans.
Chart 5: Problem loan shares1) of Icelandic banks2). December 2009–August 2013
Dec-09 Jun-10 Dec-10 Jun-11 Dec-11 Jun-12 Dec-12 Jun-130
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Enterprises Households
Source: Central Bank of Iceland (2013)1) Non-performing (more than 90 days’ delay in pay-ment) + loans with a high probability of default.2) All figures are for parent banks and refer to book values. The data relate to the three largest commercial banks in Iceland. The household data also include the Icelandic House Financing Fund.
Chart 6: Residential property loans in default1) as a proportion of outstanding balances. Irish financial institutions that arrange residential property loans. Percentages. Q3 2009–Q3 2013
Sep-09 Mar-10 Sep-10 Mar-11 Sep-11 Mar-12 Sep-12 Mar-13 Sep-130
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Source: Central Bank of Ireland (2014)1) More than 90 days’ delay in payment.
Chart 7: Losses1) suffered by Swedish banks during the banking crisis of the 1990s. Percentages
Proportion of total losses (1992–1993)
Losses (1992–1993) as a proportion of loans made (1990)
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60Households including sole proprietorshipsBuilding and construction and property management, etc.Other enterprises.
Source: Wallander (1994)1) Losses comprise crystallised losses and problem loans.
Chart 8: Losses1) as a proportion of total loans to the group. All US commercial banks2). Percentages. Seasonally adjusted. Q1 1991–Q3 2013
Mar-91 Mar-95 Mar-99 Mar-03 Mar-07 Mar-11-0.5
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3.5Total loansEnterprisesCommercial propertyResidential property loans
Source: FED (2014)1) Write-downs2) The loss ratios for total loans and enterprises relate to loans issued by both foreign and domestic offices. Commercial property and residential property loans concern loans issued by domestic offices. Residential property loans are defined as “single family residential mortgages”, while commercial property loans are defined as “commercial real estate loans (excluding farmland)”.
Chart 9: Annual loss ratios1) of Danish financial institutions. Percentages. 1992–2012
1992 1996 2000 2004 2008 2012-1
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13HouseholdsProperty-related activities²⁾Building and constructionTotal loans
Source: Nationalbanken (2013)1) Write-downs as a percentage of loans made.2) Property-related activities also include some other manufacturing activities.
Chart 10: Problem loans1) among Spanish banks that accept deposits. Percentages
Proportion of total problem loans (September 2008–September 2013)
Problem loans (September 2008–September 2013), as a proportion of loans to the group
(September 2008–September 2013)
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20
30
40
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60
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Households, secured on residential property
Households, other
Building and construction and property-re-lated activities
Other enterprises
Source: Banco de España (2014)1) Problem loans comprise loans in default (payment delayed by 90 days or more), and loans carrying a particularly high risk of losses.
