European banks face more than $458bln in COVID loan losses – ZAWYA

European banks face more than $458bln in COVID loan losses – ZAWYA

Economic fallout from the coronavirus outbreak will cause a sharp rise in loan losses at european banks, two research reports showed on tuesday, with more than 400 billion euros ($458 billion) of losses estimated in the next three years.loans to small and mid-size enterprises and unsecured consumer loans in europe, which grew by more than 20% between end-2014 and june 2019, were seen most at risk, a report from credit ratings agency moody's investor service showed.separately, a report from oliver wyman said european bank credit losses could spiral to 800 billion euros if the region succumbed to a second comprehensive lockdown to curb the spread of the virus.loans to small and mid-size enterprises and unsecured consumer loans in europe, which grew by more than 20% between end-2014 and june 2019, were seen most at risk, a report from credit ratings agency moody's investor service showed.london - economic fallout from the coronavirus outbreak will cause a sharp rise in loan losses at european banks, two research reports showed on tuesday, with more than 400 billion euros ($458 billion) of losses estimated in the next three years.separately, a report from oliver wyman said european bank credit losses could spiral to 800 billion