MADRID | By Fernando G. Urbaneja | There is a problem with the European stress tests: they focus on solvency but forget about profitability, which is essential for the future of banks. The system doesn’t work properly and in a context of stagnant economy, banking faces a difficult future.
MADRID | By JP Marin Arrese | Draghi’s acid comment that a number of banks had to fail the forthcoming ECB asset quality and stress tests to ensure their credibility, sounded like a warning on his resoluteness to undertake an unsparing check before taking over full supervisory powers. His scaremongering statement has being judged as wholly inappropriate for a central banker. A position he is well acquainted with.
Spain’s best-seller financial daily Expansión reflected on Friday how adamant the country’s banking authorities are to clear the air after the Financial Times named seven entities among a European selection of 16, all of which apparently were in extremely urgent need to raise tier 1 capital. “The British newspaper FT yesterday published, quoting a senior French official, that the European Union is to push for critical re-capitalisation of 16 banks and…
Spain’s best-seller financial daily Expansión reflected on Friday how adamant the country’s banking authorities are to clear the air after the Financial Times named seven entities among a European selection of 16, all of which apparently were in extremely urgent need to raise tier 1 capital. “The British newspaper FT yesterday published, quoting a senior French official, that the European Union is to push for critical re-capitalisation of 16 banks and…