We thank Yasuyuki Sawada, Fariborz Moshirian, Reiner Martin, and Dominik Peschel, as well as the participants of the International Public AMC Forum (IPAF) Financial Stability Seminar on Managing NPLs in Asia and Europe in Shanghai on November 8–10, 2016 and the IPAF Research Workshop in Manila on May 30, 2017 for helpful comments and suggestions. We also thank Jesson Pagaduan, Ryan Jacildo, Junray Bautista, Alyssa Villanueva, Mara Tayag, and Pilar Dayag for excellent research assistance.

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