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Subject
The banking outlook.
Significance
Brazil's severe recession has brought a halt to the bank credit boom while banks in Mexico are enjoying strong loan demand and double-digit lending growth.
Impacts
The sharp drop in lending in Brazil will slow economic recovery.
Brazilian banks' profitability will also come under pressure from rising bad loans.
Sustained high loan growth in Mexico should eventually have a positive impact on the modest pace of growth.
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2016
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