April 3, 2017 / 6:48 PM / in 2 years

Brazil central bank sees problematic loans rising 'marginally'

BRASILIA, April 3 (Reuters) - Corporate loans in or at risk of default in Brazil will rise marginally in coming months, a situation that represents no risk for the stability of the nation’s banking system, a central bank director said on Monday.

So far, banks in Brazil have mitigated the risk of growing interdependence with non-financial companies or fellow lenders by analyzing loan deals more prudently and demanding more collateral from borrowers, said Anthero Meirelles, the central bank’s head of oversight, at a news conference in Brasilia. (Reporting by Alonso Soto; Writing by Guillermo Parra-Bernal; Editing by Chizu Nomiyama)

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