House passes FIST Act to aid banks with NPLs

The House of Representatives approved on final reading a bill called the Financial Institutions Strategic Transfer (FIST) Act to help banks manage non-performing loans due to the coronavirus crisis.

With 202 votes in favor, six against, and one abstention, the bill aims to bolster lenders by transferring bad loans to asset management companies.

The measure seeks to strengthen the financial sector's resilience during economic downturns by providing incentives for banks to sell their non-performing assets to specialized firms.