Note on the comprehensive assessment, April 2014

On the 29 April 2014 the ECB informed banks how capital shortfalls must be addressed following the comprehensive assessment. This announcement follows therelease by the European Banking Authority (EBA) on the same day of the methodology and scenarios for the EU-wide stress test for major European banks

Together with the asset quality review, the stress test is a key pillar of the comprehensive assessment. The ECB has collaborated closely with the EBA on the stress test methodology and with the European Systemic Risk Board (ESRB) who produced the adverse scenario. The baseline scenario was produced by the European Commission.

The ECB will publish the results of the comprehensive assessment in October 2014, before it takes over its supervisory tasks within the Single Supervisory Mechanism (SSM).

ESO: Background information: EBA publishes common methodology and scenario for 2014 EU-banks stress test http://www.europeansources.info/record/press-release-eba-publishes-common-methodology-and-scenario-for-2014-eu-banks-stress-test/

ECB: Press Release, 29.04.14: ECB to give banks six to nine months to cover capital shortfalls following comprehensive assessment. http://www.ecb.europa.eu/press/pr/date/2014/html/pr140429_1.en.html

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