Publication - 27 May 2020 - RESEARCH BULLETIN NO.71 - COVID-19 and non-performing loans: lessons from past crises - By Anil Ari, Sophia Chen, and Lev Ratnovski[1]
During crises, the number of loans that cannot be paid back increases. What are the lessons from past crises for non-performing loan resolution after COVID-19? In this article we use a new database covering non-performing loans (NPLs) in 88 banking crises since 1990 to find out. The data show that dealing with NPLs is critical to economic recovery.