Deleveraging: effects on markets around the world

摘要

In the US and Europe, banks are being forced to deleverage by a combination of the need to comply with Basel III and, in the case of some European countries, national standards that are even more demanding. Although the credit crunch has forced property companies in almost all regions to deleverage, Europe stands out as the region in which the problems have been most substantial and where its effects can be expected to be most pronounced and prolonged (table 1, right).