Developments in the banking system – liquidity The aggravation of the economic climate and heightened uncertainty in the first half of 2015 led to mass deposit outflows, as well as a large increase in non-performing loans (NPLs). Against this background, a new recapitalisation of the banking system became necessary. Banks’ recapitalisation was successfully completed in December 2015 with strong private sector participation.
(3)  The third element relates to the high levels of debt that can result from a prolonged period of strong credit growth, and which make the economy vulnerable to negative shocks.