CNB The domestic financial sector is stable and highly resilient
The domestic financial sector is stable and highly resistant to potential adverse shocks. The banking sector continues to do so sufficient space for credit to grow even after the capital buffer has been increased, but on a reasonable dividend basis policies. This follows from the Financial Stability Report published by the Czech National Bank on Thursday. Banks will be more credit reserves. The CNB will increase the so-called countercyclical capital from July 2020 onwards two percent.
According to the report, banks have strengthened their capital and have high liquidity in the past period. Insurance companies Despite the financial market developments that have adversely affected their value, they have maintained their capital and profitability assets and liabilities. Pension companies and investment funds were affected by price changes at the end of 2018 However, this did not lead to an outflow of clients or systemically significant losses. Financial stability is in addition to stability another key objective of the CNB since 2013.
Source: CTK, CNB