Credit Mutuel’s Baal Says Inflation Is Main Bank Risk From War

Crédit Mutuel Chairman Daniel Baal said a rapid acceleration in price is the biggest risk for European banks from the Iran war.

“We have total uncertainty right now regarding the extent and duration of the conflict,” Baal said at Bloomberg’s Future of Finance event in Paris on Thursday. “So for us, the main concern that I’m identifying at the moment is that of a new inflationary shock, and rate developments that are not really in favor of banking activity.”