In parallel, banks' credit standards for corporate and housing loans tightened considerably in the first quarter of 2023. As lending slows down, so does the income base banks can rely on. Importantly, however, banks' capital positions are not currently seen to be constraining bank credit supply. There are two sides to rising interest rates. Certainly, they have a positive impact on earnings.
They cannot and should not rely on the authorities to ensure the efficiency of trading. Rather they have to create the appropriate conditions – transparency, honesty, trust – among themselves. Third, a clear distinction is to be maintained between interest rate decisions taken to maintain price stability (i.e.