REUTERS/Toby Melville/File Photo Acquire Licensing RightsLONDON, Dec 4 (Reuters) - Sluggish global growth, a higher risk of borrowers defaulting on loans and pressure on profitability mean that banks face a negative outlook in 2024, credit rating agency Moody's said on Monday.
Pockets of stress in property markets in the Asia-Pacific region were also likely to continue, the report said.
Moody's said in its report that it expected money to remain tight next year, lowering economic growth even as central banks are expected to start cutting rates.
China's growth is also set to slow amid muted spending by consumers and businesses, weak exports and an ongoing property crunch, the report said.
However, capital levels - which underpin the financial soundness of banks - are expected to broadly hold up, the report said.
Persons:
Toby Melville, Moody's, Felipe Carvallo, Iain Withers, Chizu
Organizations:
Bank of, REUTERS, Moody's Investors Services, Bank, Moody's Investors Service, Thomson
Locations:
Canary, Bank of England, London, Britain, United States, Europe, Asia, Pacific