European authorities sent recommendations on solving credit risk issues to 80% of banks in 2020, up from less than 50% the year before, clearly indicating where supervisors’ concerns lie in the wake of the coronavirus crisis.

Asks related to credit risk made up one-quarter of all qualitative recommendations sent to 112 banks directly supervised by the European Central Bank, compared with 17% in 2019. Almost two-thirds of these 2019 recommendations are yet to be taken up by banks, in part