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Czech Republic: Banking Sector Proves Stable

Published: December 12, 2013; 10:48 · (Vindobona)

According to the latest results of the bank stress test by the Czech National Bank (CNB), the domestic financial institutes remain resistant to a potential negative development.

Czech Republic: Banking Sector Proves Stable / Picture: © Czech National Bank

The required equity ratio of eight percent is exceeded significantly by the Czech banks even in case of a continuing recession in the next three years. At the end of September, equity ratio of Czech banks came at 17 percent. However, according to the CNB’s report, some banks would have to increase capital in such a scenario.

According to Jan Matousek, deputy managing director…

This article includes a total of 421 words.

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