STAFF MEMO

Chart D.8 Post-tax results for Norway’s five largest banks 1) and Nordea Bank Norge. Percentage of average total assets.. interest rate margin must be increased by 1½ percentage

There was marginal tightening of banks’ credit standards for loans to households in 2008 Q1 compared with 2007 Q4 (see Chart 2). The tightening in Q1 was somewhat less pronounced

As expected, banks reported higher margins on loans to enterprises (Chart 7). Banks expect mar- gins to continue to rise in Q3. Banks indicated no. changes in other loan

Commercial real estate (CRE) loans account for the largest share of banks’ corporate lending 9 , but banks report lower Pd and LGd figures for this type of exposure than for

Credit standards for both households and enterprises were little changed and banks also expect credit standards to remain approximately unchanged in Q3.. Margins on household