Stress Tests Become Harder

Politics ♦ Published: February 1, 2014; 14:52 ♦ (Vindobona)

Experts expect that not all banks participating in the examination will pass the stress test.

Stress Tests Become Harder / Picture: © Wikimedia Commons / Blackfish [CC BY-SA 3.0 (https://creativecommons.org/licenses/by-sa/3.0)]

In summer 2014, the ECB and the EBA will examine the balance sheets of more than 130 Eurozone banks. This week, the EBA (European Banking Authority) has announced the key features of the stress tests. “The objective of the EU-wide stress tests is to help supervisors assess the resilience of financial institutions in the European Union to adverse market developments.” The EBA…