According to research, bank lending is expected to reach its highest level in 13 years in 2020
According to research, bank lending is expected to hit a 13-year high in 2020.
Due to the pandemic’s pressures on corporate finances, the EY Item Club said corporate lending would grow 14.4 percent this year.
On the rise: Due to pandemic pressure on corporate finances, EY Item Club said corporate lending will grow 14.4 percent this year
It said most companies wouldn’t be able to start paying off the massive amounts borrowed until 2022, as the economic recovery would be “ relatively slow. ”
Omar Ali, EY’s UK financial services company, also warned that banks were facing “increasing write-downs on all types of credit.”
“This will put pressure on their profitability and ultimately their ability to lend more to businesses to drive growth,” he added.