Banks in the 16-nation eurozone face $283bn of further losses this year and next as the recession forces them to write off bad loans, the ECB warned on Monday in its latest financial stability review. The warning, which helped push down the euro against the dollar, came just hours before Moody’s downgraded 30 Spanish banks and cajas – unlisted regional savings institutions – citing the worsening quality of their loans and the Spanish economy.

This entry was posted by Gwen Robinson on Tuesday, June 16th, 2009 at 5:29 and is filed under Capital markets. Edit this entry.