Proposed solution for the non-performing loans in the portuguese banking system

This paper aims to propose a solution for the current problem of Non-Performing Loans (NPLs) in the Portuguese banking system. The analysis starts with an overview of the theoretical responses to an overall NPL problem. This is followed by a description of the relevant events in the last decade with...

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Bibliographic Details
Main Author: Santos, Bárbara Magalhães (author)
Format: masterThesis
Language:eng
Published: 2018
Subjects:
Online Access:http://hdl.handle.net/10362/36543
Country:Portugal
Oai:oai:run.unl.pt:10362/36543
Description
Summary:This paper aims to propose a solution for the current problem of Non-Performing Loans (NPLs) in the Portuguese banking system. The analysis starts with an overview of the theoretical responses to an overall NPL problem. This is followed by a description of the relevant events in the last decade within the Portuguese banking system and of the solution currently being studied by the Portuguese government. The paper concludes that the solution has severe flaws, and proposes an alternative solution that consists on a centralized asset management company.