BIS Review 171/2010  7  Graph 8  Graph 9  8  BIS Review 171/2010  This slowdown in growth on the asset side of the balance sheet has alleviated pressures on banks to increase their funding. Over the past couple of years, credit growth has been slower than the growth in deposits for the first time the early 1990s (Graph 10).
Indeed, the impact of any withdrawal of monetary stimulus on financial market participants depends on whether they have fully anticipated it. If they have, then the decision tends to have less impact on the yield curve, and thus on the valuation of banks’ assets and on the rate that banks charge to their customers, especially on fixed rate loans.