Abstract
Banks can ensure economic growth in the country by increasing the loan portfolio.Such rapid growth can pose a real threat to the quality of banking assets, and as economic growthslows down, profitability decreases and the borrower’s solvency decreases. This threat poses asystemic risk in the banking sector and can threaten not only the counter-sector, but also thecountry’s economy. At the same time, these conditions require a certain level of quality in theassessment of the borrower’s creditworthiness and banking supervision.One of the main factors hindering the stability of the banking sector is problem loans. Theseproblem loans reduce the liquidity of banks, as well as the development of the economy as a whole.Problem loans are loans that are unlikely or will not be repaid. Therefore, after issuing a loan,the bank should take measures to avoid loan losses. Problem loan management is one of the mostimportant aspects of banking practice. The article analyzes the current state of problem loans insecond-tier banks in the country