In an article by John Authers, the Financial Times examines the problems of channeling lending to European borrowers and especially SMEs. The article identifies bank capital issues but also the lack of demand from creditworthy borrowers in the middle of an economic crisis. It also mentions the role of securitisation but reminds the readers of its bad reputation, mentioning PCS as one of the ways in which the industry is seeking to re-habilitate this financing channel.
The article can be found here: (although please note, it rests behind a paywall)
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