ECB Warns ‘Flawed Models’ on Property Loans Threaten Banks

Welcome to The Brink. We’re Laura Noonan and Neil Callanan in London, where we have been looking at the ECB’s concerns over how banks are assessing property loans. We also have the latest on China’s steel slump and Ireland’s biggest shopping mall. Follow this link to subscribe. Send us feedback and tips at debtnews@bloomberg.net or DM on X to @LauraNoonanX

The European Central Bank has warned that some lenders rely too much on flawed models put forward by their commercial real estate borrowers, increasing banks’ vulnerability to a downturn.