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Loans in sentence

1648 examples of Loans in a sentence

But here, too, mounting risks have been largely ignored, owing partly to the collateralization of real property, which is believed to retain its value permanently, and partly to the system of implicit government guarantees that backs loans to local governments and SOEs.
By and large, however, the poorest countries need grants, not loans that they still won’t be able to pay in 20 years.
As the Bank switches from loans to grants, it can use some of its massive retained earnings to endow its “knowledge bank” function and related technical advice.
But President Barack Obama and his congressional allies have rejected the consensus that government should be only a last resort for those in need, in favor of greater dependence, for both individuals and firms, on entitlement programs and other public spending, targeted tax breaks, regulations, and loans.
For example, the classical prohibition on usury was softened from a ban on charging interest on all loans to a ban on charging interest on loans for which the lender had no alternative use, i.e., for charging interest on “hoards” or cash balances.
Meanwhile, Greek banks – which, given their huge volume of non-performing loans, are now more likely to be insolvent than illiquid – will require massive recapitalization, funded by the European Stability Mechanism, not the Greek state, in order to break the bank-sovereign link.
This is mainly caused by domestic problems (the bloated state owned enterprises and the government's failure to reform them, the huge number of non-performing loans on the books of state banks, restrictions to private investment, among many other causes.
But now, by imposing penalties on excess reserves left on deposit with central banks, negative interest rates drive stimulus through the supply side of the credit equation – in effect, urging banks to make new loans regardless of the demand for such funds.
Given persistent sluggish aggregate demand worldwide, a new set of risks is introduced by penalizing banks for not making new loans.
This is the functional equivalent of promoting another surge of “zombie lending” – the uneconomic loans made to insolvent Japanese borrowers in the 1990s.
At the same time, many very small businesses cannot get credit, because the local banks on which they depend have inadequate capital, owing to accrued losses on commercial real-estate loans.
A caveat, as our study highlights, is that there is a potential mismeasurement of the “true” incidence of default, which we cannot begin to quantify at this time – namely, defaults or accumulated arrears on Chinese loans.
The definition of such a crisis is precisely that moment when private-sector loans are not readily available.
The qualitative parallels are obvious: banks using off-balance loans to finance highly risky ventures, exotic new financial instruments, and excessive exuberance over the promise of new markets.
Constraining new credit would fuel a surge in defaults on bank loans and wealth-management products, and would cause investment to contract much more rapidly than consumption can feasibly grow.
As the scale of bad loans becomes apparent, China’s official government debt – still a relatively low 41% of GDP in 2014 – could swell significantly.
If China’s traditional and shadow banking systems end up holding loans amounting to more than 300% of GDP, then somewhere there will be companies, households, and government entities with bank deposits or other fixed-income assets equal to over 270% of GDP (with the other 30% or so being investments in bank equity).
Those apparently low-risk claims cannot really be worth 270% of Chinese GDP if a significant proportion are matched by loans to borrowers who cannot repay.
Today’s crisis was triggered by widespread concealment of bad loans within pools of securities sold all over the world.
Whether measured by flows (loan disbursements) or stock (loans outstanding), the World Bank is massively over-staffed, with a much higher administrative budget than the EIB.
Most of this bureaucratic growth was the result of pressure from developed countries, which timed their efforts with the periodic replenishment of the International Development Association (the World Bank’s window for soft loans).
Yet, instead of making the case that risk is intrinsic to economic development and developing a risk-balanced portfolio of projects (and loans priced accordingly), the Bank pretends that it can be infallible.
The exemption for secured debt undoubtedly concerns mainly the refinancing loans that the ECB has extended to commercial banks against increasingly weak collateral.
These loans extend far beyond providing the liquidity that these countries need for internal circulation, for which a maximum of €335 billion – their available stock of central-bank money – would have sufficed.
With several banks in the crisis countries on the verge of bankruptcy, many of these loans have now turned toxic.
According to the Eurogroup’s proposal, these self-awarded loans, too, are now to be secured by ESM funds.
Ross got it right again this week, when he said:“I think that the real purpose and the real need that we have in this country for banks is to make loans particularly to small business and to individuals.
It also requires providing financial help, ranging from debt forgiveness to investment, loans, and other forms of aid.
Just as Japan has done, Sweden's government took over most bad loans from private banks so that they could begin operating more normally.
Since 2000, China has offered Kenya $6.8 billion in loans for infrastructure projects, compared to $1.7 billion for Zimbabwe.
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