Seven out of 91 European banks failed the region’s long-awaited stress tests and may need to raise more than 3.5 billion euros ($4.5 billion) of additional capital, the Committee of European Banking Supervisors said Friday. Five of the banks that failed were in Spain, with Germany’s Hypo Real Estate and Greece’s ATEBank also unable to maintain a Tier 1 capital ratio of more than 6% under the most severe scenario tested. All the other German lenders including the troubled landesbanks passed the test, along with all of Europe’s huge listed banks.
Posts Tagged ‘European Banking’
Seven European banks fail stress tests
July 24th, 2010 
Before You Invest 
Posted in Finance Fraud 
Tags: Capital Ratio, Committee Of European Banking Supervisors, Europe, European Banking, European Banks, Friday Five, Germany, Greece, Hypo Real Estate, Lenders, Spain, Stress Tests, Tier 1 Capital 
Comments OffResults of EU-wide stress tests will remain secret
May 21st, 2009 Before You Invest The outcomes of stress tests on financial institutions in the European Union (EU) will be kept confidential, the Committee of European Banking Supervisors (CEBS) has said.Under the EU-wide exercise, national supervisors will use common scenarios developed by CEBS to determine the resilience of Europe’s banks in the event of further financial shocks.CEBS said that unlike the US government’s stress tests, the assessments are not designed to identify individual institutions that need to raise more capital, as this is the responsibility of national regulators.Rather, the tests are intended to increase the level of aggregate information on the EU’s financial system available to policymakers and to support the convergence of best practice across the 27-nation bloc.The tests are expected to be completed by September, CEBS said.In the US, the government’s stress tests of 19 major lenders found that 10 banks – including Citigroup, Bank of America and Morgan Stanley – needed to raise an additional $75 billion to ensure they could withstand a severe economic slump.
Posted in Finance Fraud Tags: Bank Of America, Banks, Bloc, Cebs, Citigroup, Committee Of European Banking Supervisors, Convergence, Economic Slump, European Banking, European Union, Exercise, Financial Institutions, Financial Shocks, Lenders, Morgan Stanley, National Regulators, Resilience, Scenarios, Stress Tests, Us Government No Comments »
