This report evaluates a range of possible responses to address large-scale NPL stocks, considering complementary internal recovery and market-based disposal solutions. In this sense, the study proposes a framework to encourage a non-performing loan stock reduction strategy that would effectively balance the incentives, costs and risks of key stakeholders including national authorities (and taxpayers), banking institutions, investors and other market participants.
Resolution strategies for non-performing loans in the post-COVID-19 landscape
