Finnish central bank needs more macro-prudential tools – deputy governor


Finland’s central bank needs increased macro-prudential powers over household debt and the housing market, one of its deputy governors told a press briefing today (May 9).

The Bank of Finland needed to be able to have the power to impose debt-to-income caps on households, Marja Nykänen said. “The debt-to-income cap would be well complemented by maximum term lengths for housing loans and housing company loans,” Nykänen added. She said this would “help promote sound lending standards”.


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