EBA

Bankinter

Only Bankinter Exceeds The Average Capital Ratio Of European Banks, 11.2% Compared To 10.2%

Banca March | European banks have passed the stress tests with good marks. In Spain, the ratio is slightly below the average, at 8.95%. Of the four domestic institutions analyzed, only Bankinter with a ratio of 11.2% exceeded the European average. Santander’s ratio was 9.3% and BBVA’s was 8.7%. The worst performance was that of Banco Sabadell with a ratio of 6.5%, ahead only of Italy’s Monte dei Paschi and HSBC.


The EBA proposes modifying stress tests

European Banks: Asset Quality Ratios Are Not Proportional To The Extent Of Their Impairment Due To Covid19

Santander Corporate & Investment | Yesterday, the European Banking Authority (EBA) published a report with a preliminary assessment of the Covid-19 impact on the EU banking sector. The EBA flags up the fact that banks “entered the health crisis with strong solvency and liquidity reserves and managed the pressure on operational capacity by activating their contingency plans”. It also flags that “the crisis is expected to affect asset quality and therefore the future profitability of banks.


The EBA proposes modifying stress tests

The EBA Proposes Modifying Stress Tests

The new European Banking Authority (EBA) proposal will be analysed and discussed by the parties involved up until April 30, with a public discussion session on February 21. It will give banks more room for manoeuvre in the calculation of their projections. That said, the agency has insisted standards will have to remain high. The banks will have to continue detailing capital requirements, major risk factors or exposure data.



EBATC

EU banks come through EBA’s monitoring

The EBA published yesterday the results of its regular health checks on banking, focused on the capital, leverage, liquidity and net stable ratios at the close of 2014. On average results fall comfortably inside the stringent Basel III requirements.




No Picture

Market chatter: An agreement to soften stress tests conditions for Spanish banks

MADRID | By Jaime Santisteban | European Banking Association and the Bank of Spain agreed to take into account borrowers’ non-property guarantees to assess the situation of Spanish entities in the upcoming stress tests. Bankinter analysts believe that “such guarantees, which are usually pledging of assets like deposits, shares and/or by consignatures, mean a certainty of collection for banks.” Also,  Amadeus has been one of the most attractive values in the Spanish Ibex 35.


Calviño raises fiscal deficit targets

“Frankfurt cannot supervise all 6,000 banks in the Eurozone”

MADRID | By Luis Alcaide, Luis Martí and Jaime Santisteban | Deputy Director General at the European Union’s Financial Services Nadia Calviño considers that the EBA must keep playing an important role in the coordination of the financial supervision. She believes that transparency is a key issue that must prevail within the process of the European integration in the Eurozone.


Spanish banks

Spanish banks poised to face trouble

MADRID | By JP Marin Arrese | Not so long ago, markets gauged solvency problems in Spain to lay in former saving banks as many found themselves in a shambles. Few investors cast doubts on the main credit institutions, staunchly anchored in their extensive non-domestic business. Yet sentiment has markedly shifted as trouble is looming on Latin America. Argentina undoubtedly stands as a weird and quirky case. Still, the peso collapse has sent shivers down the spine.