“Keep an Eye on the NPL&REO Markets 2026”: Prime Yield presents fresh insights into NPL trading dynamics
Prime Yield has released the 2026 edition of its flagship report, “Keep an Eye on the NPL & REO Markets”, offering fresh insights into non-performing loan (NPL) markets across Southern Europe and Brazil.
This year’s edition highlights a realignment in market performance across the regions analyzed. In Southern Europe, Portugal, Spain, and Greece all recorded reductions in their NPL stock – both on a quarterly and year-on-year basis -, contrasting with a broader European trend, where NPL volumes rose again in Q3 2025.
NPL ratios also improved across these three countries. However, market dynamics differ significantly. Spain and Portugal experienced a slowdown in transaction activity compared to 2024, reflecting more mature markets and reduced primary activity. In contrast, Greece is expected to have seen a notable acceleration in transactions in 2025, driven by the completion of two of the largest deals under the HAPS state securitization program.
In Latin America, the scenario diverges. Brazil saw a sharp increase in default levels in 2025, impacting both the financial system and consumer credit. As a result, NPL portfolio sales expanded, supported by higher volumes of distressed assets and a broader range of sellers, even within the context of a new regulatory framework for banking provisioning.
Ask us for a copy of the full 2026 report to explore a comprehensive analysis of the NPL stock evolution, ratios, and transactions trends across all covered markets.
