Large players in developed economies compete with each other intensely, while it is possible that a few of them dominate in each of Asian financial markets. A few of the financial intermediaries could thus wield dominant position in the financial markets of these countries, increasing the concentration risk.
Against the background of an economic outlook still clouded by uncertainty, credit demand remains weak, but the supply-side tensions are obstinate as well. The responses of Italian banks to last quarter’s bank lending survey confirm the attenuation of credit restrictions; however, a large percentage of firms, especially small businesses, still report finding it difficult to obtain credit.