But German banks' unwillingness to write down their bad loans--both from investments before the credit crisis and as a result of the recession--could lead to more economic trouble for the region.

FORBES: Global Economy

Michio Ochi, who heads the government commission charged with financial-sector reform, said it would slow down their write-offs of bad loans, and hamper their return to health (although the soft policies pursued by Mr Ochi himself are also often blamed for the banks' lingering malaise).

ECONOMIST: Capital taxes | The