European Banking Authority |

Hot of the press: two news issues of the EBA staff papers

The European Banking Authority published two new EGA staff papers focusing on (i) procyclicality around market risk and prudent valuation rules, and (ii) a case study on the calibration of the IRB supervisory formula. The EBA staff paper series aims to stimulate discussion and public debate on selected financial regulation, supervisory policy and legal issues.

28/09/2023

The EBA second mandatory exercise on Basel III full implementation shows a significantly reduced impact on EU banks with shortfalls nearly fully absorbed

The European Banking Authority (EBA) today published its second mandatory Basel III Monitoring Report which assesses the impact that Basel III full implementation will have on EU banks in 2028. According to this assessment -- which uses a sample of 157 banks for the point-in-time analysis -- in terms of minimum Tier 1 capital the impact has significantly decreased in relation to the...

26/09/2023

EBA publishes the results of its 2023 EU-wide stress test

The results of the 2023 EU-wide stress test show that European banks remain resilient under an adverse scenario which combines a severe EU and global recession, increasing interest rates and higher credit spreads.
This resilience of EU banks partly reflects a solid capital position at the start of the exercise, with an average fully-loaded CET1 ratio of 15% which...

28/07/2023

Banks plan to issue more debt instruments to counterbalance expected decline in central bank funding, the EBA funding plans Report shows

Banks’ total assets increased by 1.3% in 2022. Strong loan growth to households and non-financial corporates (NFCs) was offset by a decline in cash balances, related to the Targeted Longer-Term Refinancing Operations (TLTRO) repayments.
Banks’ reliance on public sector sources of funding is set to fall in 2023, due to TLTRO funds reaching maturity. Most banks have...

25/07/2023

EU/EEA banking sector shows rising profitability, but asset quality and profitability related risks are looming

The European Banking Authority (EBA) today published its Q1 2023 quarterly Risk Dashboard (RDB). The publication presents the results of the EBA’s latest risk assessment questionnaire (RAQ), which was conducted among 85 banks in spring this year. It also includes information on minimum requirement for own funds and eligible liabilities (MREL). Banks’ profitability continued to increase...

13/07/2023

EBA Annual Report highlights key achievements in 2022

The European Banking Authority (EBA) today published its Annual Report that sets out the activities and achievements in 2022 and provides an overview of the key priorities for 2023.

In 2022, the EBA operated in a...

12/06/2023

ESAs present common understanding of greenwashing and warn on related risks

The European Supervisory Authorities (EBA, EIOPA and ESMA – ESAs) today published their progress Reports on greenwashing in the financial sector. See EBA, ...

01/06/2023

ESAs draw consumers’ attention to how rises in inflation and interest rates might affect their finances

The three European Supervisory Authorities (EBA, EIOPA and ESMA – ESAs) today published an interactive factsheet to help consumers understand how the recent increases in inflation and interest rates can affect their money. This includes the financial products and services that consumers currently hold or plan to buy, such as loans, savings, financial investments, insurance and pensions...

15/05/2023