The level of strength has been increased in Peru's financial system, and if an adverse macroeconomic scenario were to occur, banks and municipal funds would face such problem without risking solvency, Central Reserve Bank (BCR) reported on Tuesday.
BCR's latest Financial Stability Report (REF) indicates there is also greater liquidity and capitalization of financial institutions in the country.
Likewise, it points out the financial sector's exposure to credits —rescheduled due to Coastal El Niño
phenomenon impacts— was low.
Such document also emphasizes the recovery in dynamism thanks to non-financial companies' debt issues in the international market, as well as population's greater acceptance of digital payments and the consolidation of recent innovations in the payment market.
It must be noted such report aims to identify the risks affecting financial stability, as adverse shocks to the financial system might undermine the monetary policy's effectiveness, as long as they modify the channels linking the financial variables with real ones and —eventually— with inflation.