Europe’s risk managers are predicting further staffing cuts in the banking sector and many of them are expecting entrepreneurs and consumers to look for alternative borrowing sources, as per the European Financial Marketing Association (Efma). The findings emerge from the fifth ‘European Credit Risk Survey,’ conducted by Efma and FICO. More than 100 representatives from 29 European countries and 86 financial institutions were surveyed through it.
Mike Gordon, General Manager for FICO in Europe, the Middle East and Africa, affirm that responding bankers are seeing little relief for tight credit markets leading governments to consider stimulus measures like the UK’s funding for lending programme. This also explains why bankers believe more of their customers would seek credit through alternative channels.