1.18 trillion in September 2008 to Ksh. 1.31 trillion at the end of September 2009 as banks continued to expand their lending portfolio. •  Deposits increased from Ksh. 895 billion in September 2008 to Ksh. 1 trillion on the back of deposit mobilization and expansion of branch networks by banks.
Now Europe, albeit in less severe market conditions, has decided to proceed down the same road and will confront the US exercise. But the European tests examine more risk factors than those contemplated in the American case. In addition to adverse macroeconomic conditions, they also assume an increase in the market’s perception of sovereign risk.