Mittetõotavate

"Mittetõotavate" is an Estonian word that translates to "non-performing" or "failing to perform" in English. It is most commonly used in a financial context to describe loans or other financial instruments that are not meeting their repayment obligations. When a loan is classified as "mittetõotav," it signifies that the borrower has fallen behind on payments for a significant period, typically 90 days or more, or that there is a high probability of default.

The classification of a loan as "mittetõotav" has important implications for lenders. It triggers specific accounting and regulatory requirements. Lenders are required to set aside provisions for potential losses associated with these non-performing loans. This impacts their profitability and capital adequacy. Furthermore, regulatory bodies closely monitor the level of non-performing loans within financial institutions, as a high concentration can indicate systemic risk within the financial sector.

In a broader sense, the term "mittetõotavate" can be applied to any situation where an expected outcome or performance is not being met. For example, it could refer to a project that is failing to deliver its intended results or a policy that is not achieving its objectives. However, its primary and most frequent usage remains within the realm of finance, specifically concerning the status of debt obligations.