The outstanding amounts of loans and advances that are still subject to banking support measures, introduced in response to the Covid-19 pandemic[1], continues to decrease in the eurozone. It was EUR444 billion in the fourth quarter of 2021, or 3.1% of total loans, from EUR494 billion, 3.5% of the total, in the third quarter of 2021.
Eurozone: no significant deterioration of loan books despite the lifting of moratoria in the eurozone This decrease related nearly exclusively to loans subject to moratoria compliant with the European Banking Authority guidelines[2], for which preferential prudential treatment came to an end on 31 December 2021. The outstanding amounts of loans subject to public guarantee schemes and loans subject to forbearance measures almost stabilised in the fourth quarter of 2021, at EUR438 billion.
The gradual lifting of moratoria has not, so far, resulted in any significant deterioration of the quality of loan books. The proportion of loans whose quality has deteriorated is very similar for those still subject to a moratorium and those which no longer benefit from such coverage.
