Search

The European Banking Authority (EBA) published the results of the 2014 EU-wide stress test. As a fundamental step in the on-going repair process of the EU banking sector, the EU-wide stress test allows assessing the resilience of banks to adverse economic developments, as well as understanding any remaining vulnerabilities. By disclosing up to 12,000 data points per bank, the EBA is providing unprecedented transparency into EU banks’ balance sheets, an essential condition to maintain strong market discipline and increase investors’ confidence in the EU banking sector.

The European Banking Authority (EBA) published today the results of the 2014 EU-wide stress test of 123 banks. The aim of the stress test is to assess the resilience of EU banks to adverse economic developments, so as to understand remaining vulnerabilities, complete the repair of the EU banking sector and increase confidence. On average, EU banks’ common equity ratio (CET1) drops by 260 basis points, from 11.1% at the start of the exercise, after the asset quality reviews’ (AQRs) adjustment, to 8.5% after the stress. By disclosing these results, the EBA is providing unparalleled transparency into EU banks’ balance sheets, with up to 12,000 data points per bank, an essential step towards enhancing market discipline in the EU.

Piers Haben, Director of the EBA Oversight, explains in a short video all that’s needed to know on the 2014 EU-wide stress test.Take a look at this dedicated multimedia section on the stress test:https://www.eba.europa.eu/risk-analysis-and-data/eu-wide-stress-testing…

The Joint Committee publishes the 2014 List of Identified Financial Conglomerates. The latest version of the list shows 71 financial conglomerates with the head of group in an EU/EEA country, one with the head of group in Australia, two with the head of the group in Switzerland, and two with the head of group in the United States.