Pref senior supply surge sparks MREL debate

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Pref senior supply surge sparks MREL debate

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Illustration Euro currency and Coronavirus. Rotterdam, Netherlands, April 18, 2020. Photo by Robin Utrecht/ABACAPRESS.COM | Utrecht Robin/ABACAPRESS.COM/ABACA/PA Images

Euro area banks have increased their reliance on preferred senior funding during the coronavirus crisis, fuelling speculation that some lenders may be expecting a softening of their minimum requirements for own funds and eligible liabilities (MREL).

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