...Negative Outlooks: Fitch Ratings maintains negative sector outlooks on Argentina 's, Ecuador's and Venezuela's banks due to the banking systems' increasing vulnerability to deteriorating economic and operating environments. This may continue pressuring ris k adjusted margins and w ill likely contribute to a further deterioration in loan delinquency. Governm ent Intervention: The Argentine, Ecuadorian and Venezuelan banking systems are highly exposed to regulatory intervention and uncertainty, w hich limits the development of the financial system, erodes bank earnings and challenges the banks' ability to cope w ith these countries' adverse economic environments. Decelerating Loan Grow th: Decelerating economic grow th in Argentina and Ec uador, as w ell a recession in Venezuela, has pressured banks' loan grow th and profitability in 2015. Current economic conditions, in particular macroeconomic imbalances in Argentina and Venezuela, and externally dr iven monetary supply pressures and USD...
