Further Decrease in Vulnerability of Financial Services Sector Hampered by Inflation

A more significant recovery and decrease in vulnerability of the sector is being hampered by accelerated price increases, which is reducing household purchasing power and slowing down consumption. Another source of uncertainty is the still present COVID-19 measures and the escalation of geopolitical risks relating to the war in Ukraine and sanctions imposed on Russia, the Croatian Financial Services Supervisory Agency (HANFA) said in its Macroprudential Risk Scanner.

This publication provides insight into the process of identifying, assessing and monitoring the evolution of systemic risks in the financial services sector so that appropriate measures can be promptly taken to prevent their materialisation and the impairment of financial system stability.

 

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