Austrian Financial Sector Stable – Remaining Challenges in Particular Business Segments

BusinessEconomy ♦ Published: June 21, 2011; 10:33 ♦ (Vindobona)

Stress test results show Austria’s banks to be more resistant to risks than in 2010 – Boosting equity remains on the agenda nevertheless.

Austrian Financial Sector Stable – Remaining Challenges in Particular Business Segments / Picture: © Vindobona.org

Despite ongoing tensions in the financial markets, Austrian banks’ risk-bearing capacity has increased, though there is still a need for further improvements. The Austrian National Bank’s (OeNB) most recent stress test shows that the Austrian banking system overall is better prepared for any renewed economic slump than a year earlier. However, the results also reconfirm the broader…