European banks braced for new stress tests

The second round of EU-wide bank stress tests were due to begin in early March 2011, when regulators provided banks across the 27-member bloc with details of economic scenarios that would be used to test whether they had enough capital.

Designed to reassure investors and regulators that banks have enough capital and liquid assets to survive a crisis, the stress tests were the first significant hurdle for the European Banking Authority, the pan European regulator created in the wake of the financial crisis.

ESO: Background information: New EU bank stress test rules out soon http://www.europeansources.info/record/new-eu-bank-stress-test-rules-out-soon/

ESO: Background information: Website: European Banking Authority http://www.europeansources.info/record/website-european-banking-authority-eba/

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