In a downturn, mitigation beats litigation every time

Economic shocks increase op risks for banks, but institutions can take steps to limit the danger

Western economies are currently experiencing economic conditions reminiscent of the ‘stagflation’ that blighted much of the 1970s, with the Bank for International Settlements warning in March that rising commodity prices were contributing to high inflation and slowing growth. The rising costs of food and energy mean many people are finding it harder to repay credit cards and other loans. At the same time, many households are for the first time seeing significant increases in their mortgage