IFC, the World Bank's private investment arm, is planning to help banks process non-performing loans, as it is able to get involved through stakes of as much as 20% in private equity funds that are set to focus on this activity, should institutions consider they need such support, says Ana-Maria Mihaescu, head of IFC mission in Romania.
This is one of the clearest messages so far coming from a high-ranking official of an international financial institution, calling on banks to bring out non-performing loans from their balance sheets and outsource them.
