Financial Stability Review

The primary purpose of the Financial Stability Review prepared by the Financial Stability Department of the Bank of Lithuania is to analyse the main risks for the Lithuanian financial system, devoting particular attention to the situation in the domestic banking system and its debtors – households and non-financial institutions.

The main objectives of the Financial Stability Review are the following:

  • draw attention to internal and external threats of the financial system of the country;
  • assess the capability of that system to withstand adverse impact of internal and external shocks;
  • advise market participants on how to adequately prepare for challenges in the financial system.

Financial Stability Review has been published annually since 2006. Until 2005, the Bank of Lithuania published annual reviews of the Lithuanian financial markets. 

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Latest issue:

Financial stability review 2016

 

 

 

 

 

 

Whole publication (pdf)

SUMMARY (pdf)


I. STATE OF THE FINANCIAL SYSTEM AND ITS OUTLOOK (pdf)


Financial market and economic development (pdf)
Banking sector (pdf)
Lending (pdf)
Real estate market (pdf)
Insurance market and pension funds (pdf)
Financial market infrastructure (pdf)

II. RISKS TO THE FINANCIAL SYSTEM (pdf)

Real estate market and leverage imbalances in Nordic countries (pdf
Prolonged low interest rate environment (pdf)
Credit risk growth due to lower demand in major export markets (pdf)
Snapback in risk premia (pdf)
Challenges to the financial system (pdf)
    Cybersecurity threats to financial institutions (pdf)
    Unbalanced development of the credit union sector (pdf)

Stress testing (pdf)
    Bank solvency testing (pdf)
    Bank liquidity testing (pdf)

III. STRENGHTHENING OF THE FINANCIAL SYSTEM (pdf)

Main changes in the area of financial system strengthening (pdf)
Other systemically important institutions buffer (pdf)
Credit union sector reform (pdf)
Assessment of the riskiness of the deposit insurance system participants (pdf)
Resolution of financial institutions (pdf)

STATISTICAL ANNEX. KEY FINANCIAL STABILITY INDICATORS (pdf)

GLOSSARY (pdf)

Boxes

Box 1. Financial stress indicators (pdf)
Box 2. Banks’ funding plans and lending to the economy (pdf)
Box 3. New survey of real estate market participants (pdf)
Box 4. Risks posed by execution of domestic payments in euro via intermediaries (pdf)
Box 5. Reasons behind home price developments in Sweden (pdf)

 

Data of the review (xls)

Presentation of the review

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The presetantion includes general assesment of financial stability, prospects of the banking sector, financial standing of bank borrowers and results of the stress testing.

Presentation n4539/pdf.gif(pdf)

 

    Previous issues:
   Archive of Reviews (2007-2015)

Updated 07/06/2016