Taking a tough stance, the ECB has made it lucidly clear that banks across the Eurozone will have to stick to the deadline in reducing their non-performing assets, including loans.
On Friday, the European Central Bank disclosed that it plans on rigorously reviewing how euro zone banks are progressing in cutting their stock of non-performing assets.
The ECB will take action against those lenders who are not moving fast enough to reduce their NPA profiles, said ECB bank supervisor Ignazio Angeloni to a German newspaper.
“In many cases, we will hopefully be able to say that the plans are in order. But in some cases, we will have to tell banks that they need to be more ambitious about the issue,” said Angeloni.