EconNews Roundup

Hurriyet summarizes Banking Regulation and Supervision Agency's latest Financial Markets Report with a to-the-point headline: Crisis amplifies risks for lenders. One of the major risks is the increasing NPLs. As you can deduce from the article, the NPLs have so far been mainly in the commercial loan segment. As unemployment soars and people start delving into their credit cards (which is supported by data BTW), I'd expect consumer loans and credit cards to catch up as well. Note that these will continue to work their way into both the quantity and price of credit, and I expect the credit channel of monetary policy to remain stagnant for a while.