May 31, 2018 / 5:49 AM / 3 months ago

Danish banks have been easing credit standards - cen. bank

COPENHAGEN, May 31 (Reuters) - Some Danish banks are beginning to behave in the same way they did in the period leading up to the financial crisis 10 years ago, the central bank said in its Financial Stability analysis on Thursday.

Medium-sized banks have been easing credit standards for corporate customers for quite a while, and risks may be building up in the banking system, the central bank concluded.

“This development emphasizes the importance of having well-capitalised banks and of building up the countercyclical capital buffer so that the effects can be mitigated when the economy reverses,” the central bank said. (Reporting by Teis Jensen; Editing by Christian Schmollinger)

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