As Nedbank wrapped up a painful reporting season for the big four banks last week, one standout takeaway is that it is easy for the industry to soak up losses from a wave of skipped loan repayments. That’s a good thing.  

It’s exactly what regulators at the Reserve Bank’s bank supervision unit, the Prudential Authority led by deputy governor Kuben Naidoo, were hoping for when they rallied behind rules that required lenders to hold cash reserves against potential loan losses.    ..

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