1. Banks are building huge reserves with government encouragement while not lending much, hoping the economy will turn enough so it can write down some of its bad loans to reasonable levels. Then lending can get back to reasonable levels.
2. The people closest to the toxic asset problem don't want us to know how bad things really are.
3. Government is skirting around the issue of why it is not forcing more lending, all the while printing more money.
I don't want to get overly gloomy either (2017?), but I have had some of these questions in my mind for a while now too, and I also got a new thought or two from this post.