Economic Forecasts and Performance Review slide image

Economic Forecasts and Performance Review

0.00% 2001 0.50% 2002 1.00% 2003 1.50% 2004 PCL Ratio on Impaired Loans 1 Provision for credit losses on certain assets - loans, acceptances and off-balance sheet exposures 2005 0.00% 0.50% 1.00% 2002: Included $454 2.00% million related to the 1.50% Bank's exposure to Argentina 2005 2006 2007 Historical PCL Ratios on Impaired Loans Credit fundamentals remain strong; PCLs on impaired loans in line with long-term average ALL BANK: HISTORICAL PCL RATIO ON IMPAIRED LOANS¹ 2008 2009 2009: Higher PCLs driven by economic conditions, event distributed across business lines. Higher general allowance and sectoral allowance (automotive related) 2.00% PCL Ratio on Impaired Loans Historical Average - PCL Ratio on Impaired Loans (44 bps) CANADIAN BANKING: HISTORICAL PCL RATIO ON IMPAIRED LOANS¹ 2006 2007 2008 2009 2010 2011 2012 2013 2014 Historical Average - PCL Ratio on Impaired Loans (26 bps) 2015 2016 2017 54 2010 2018 2019 Average: 26 bps 2019 Average: 44 bps
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