Global bank credit losses nearly US$1.8 trillion, S&P says

S&P expects final 2020 data will show global banks registering credit losses of close to US$900bil, a third lower than its previous forecast.

KUALA LUMPUR: S&P Global Ratings forecasts global bank credit losses of around $1.8 trillion for 2020 and 2021, which is 15% lower than its previous forecast of US$2.1 trillion made in July 2020.

In a statement issued on Wednesday, its credit analyst Osman Sattar said as well as somewhat lower credit losses in aggregate, “our revised forecasts also reflect a shift in the timing of these losses -- we now expect them to be spread more evenly across our forecast period”.