BIS 2017 Annual Report - Zombie Firms

The Bank for International Settlements in Basel is the worldwide central banks' joint organization. The BIS annual report is usually a good read on global monetary and credit conditions, chock-full of data.

The 2017 report includes a section on so-called zombie firms, companies whose weak balance sheets and performance would have led to bankruptcy in a higher interest rate environment. It is possible that low interest rates and zombie firms could be part of the puzzle of persistent low productivity growth.

 

BIS 2017 Annual Report - Zombie Firms

 

The Bank for International Settlements is an international financial institution owned by central banks which "fosters international monetary and financial cooperation and serves as a bank for central banks".