M&A activity has suffered from uncertainties caused by high interest rates and US debt stress, with European banks among the most affected. Although 2022 European bank dealmaking fell to its lowest level in five years, recent figures indicate that a comeback is underway, which will hinge on how Europe’s macroeconomic environment fares.
(Bloomberg) Fast rising interest rates, the key factor behind this year’s 72% rally in Polish bank stocks, could gradually turn into a strain on valuations in 2022.
The industry has benefited from monetary tightening that boosted bank revenue from mostly variable rates on credit.