Most of this increase is not attributable to the depreciation of the exchange rate which has occurred in the last few months because the dollar value of these loans has itself risen by 27 percent over the last 12 months and by over 60 percent in the last 18 months.
I am not worried about the foreign exchange market risk carried by the banks, because their net foreign exchange exposure is very small, but I am concerned about the liability dollarization of the real sector, which could translate into future credit risk if real exchange rate depreciation raises its real debt burden.