EU Stress Test Generally Tougher but Methodology Changes May Limit Capital Depletion
Banking & Financial Services / Europe / Mon 25 Jun, 2018
Key macro parameter deviations from baseline are generally tougher in the adverse scenario of the European Banking Authority's (EBA) 2018 stress test of major EU banks than was the case in 2016. The adverse scenario applies an 8.3% deviation of EU GDP from the baseline level in 2020 and fears around a Nordic asset bubble and Brexit lead to deep