Debt markets: Funding back in the balance

European bank rehabilitation is at risk as funding markets are dislocated by the sovereign debt crisis. Will governments be forced to underwrite their lending again? And what does it mean for companies when the global economy is showing signs of recovery and default rates are falling? Hamish Risk reports.

The time has come for debt capital markets bankers
Funding back in the balance
E2010 primary debt poll results
Primary debt poll methodology


IT STARTED SO well in the first quarter. Debt issuance began with a roar as European banks raised €288 billion in the first four months of the year, most of it in the first three months, putting its run rate well ahead of annualized forecasts that had predicted issuance of a shade over €500 billion.

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