In other words, the main banks had enough precrisis capital € bn between the top two) to absorb the actual and prospective losses on residential mortgages. •  Loan losses of the banks. This is another potential cost figure. Banks normally incur only very small loan losses.
The latest ECB staff projections foresee a contraction in euro area real GDP of 8.0% this year; economic activity is expected to return to growth in the following two years but to recover to precrisis levels only by the end of 2022.