European Banks Face 5.5% Capital Hurdle in EBA Stress Test
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The largest banks in Europe will have to show their capital won’t dip below 5.5 percent of their assets in an economic crisis, the European Union’s top banking regulator said.
The exercise, which will examine a sample of 124 banks that cover more than half of each EU member state’s banking industry, is scheduled to begin around the end of May, the European Banking Authority said in a statement today. Results will be published at the end of October.